The Price Of Soybeans Javets, Minister Of Trade Zulhas Proposed To Subsidize To IDR 2,000 Per Kg

JAKARTA - Trade Minister Zulkifli Hasan suggested that the value of soybean subsidies be increased from Rp1,000 to Rp2,000 per kilogram (kg).

The increase in the amount of subsidy value is based on the increase in soybean prices in the country.

Zulhas, as Zulkifli Hasan is familiarly called, also invited local governments to help provide subsidies for this imported food commodity, which has a price of Rp. 13,000 per kg.

Along with the permit from President Joko Widodo (Jokowi) to use two percent of general transfer funds in the regional revenue and expenditure budget (APBD).

"I think if the price is too high, later the central government will now (subsidize) 1,000, the local government can Rp1,000 to Rp2,000. So (the price of soybeans) can be Rp. 11,000. If possible (the value of the subsidy) will increase again, we'll see if the central government can (subsidized) Rp. 2,000, how much will the regions be," he told reporters, Sunday, October 30.

Zulhas said, adding this subsidy value was also needed in line with the reduction in the value of the rupiah currency. The reason is, the weakening of the rupiah will have an impact on soybean prices. Given that this commodity is 99 percent an imported product.

"If (subsidized) IDR 1,000, I really can't take any action," he said.

Currently, said Zulhas, the price of world soybeans has actually dropped. However, the soybeans purchased at the time the price fell will only arrive in December 2022 until January 2023.

"The price of soybeans actually fell, but the delivery was 40 days, so (the soybeans purchased when) the price fell will arrive in December-January. (The price of soybeans) is now on the market, the price yesterday (when) was still expensive," he said.