Ministry of Trade Claims Supply of Safe Cooking Oil for Fasting and Eid 2023

JAKARTA - The Ministry of Trade (Kemendag) through the Directorate General of Domestic Trade claims that the supply of deep cooking oil is safe to welcome the months of Ramadan and Eid 2023.

The Acting Director General of Domestic Trade, Kasan, ensures that the supply of cooking oil is safe.

However, to ensure the availability and price stability of people's cooking oil, the Ministry of Trade issued guidelines for selling people's cooking oil.

These guidelines are contained in Circular Letter Number 03 of 2023 issued by the Directorate General of Domestic Trade, Ministry of Trade.

Apart from reassuring the Highest Retail Price (HET) for packaged cooking oil of IDR 14,000 per litre and bulk oil of IDR 15,500 per kg, said Kasan, this regulation prohibits the sale of people's cooking oil in bundling.

"The Ministry of Trade ensures that the availability of cooking oil ahead of fasting and Eid is safe. To ensure price stability and prevent price increases, the Ministry of Trade needs to set guidelines for selling people's cooking oil to producers, distributors, and retailers", he told reporters, Sunday, February 12.

In this circular issued on February 6, 2023, three points of guidelines must be adhered to by manufacturers, distributors and retailers.

First, the sale of people's cooking oil must comply with Domestic Price Obligation (DPO) and HET prices.

Second, sales of people's cooking oil are prohibited from using the bundling mechanism with other products.

Third, sales of people's cooking oil by retailers to consumers are at most 10 kg per person per day (for bulk cooking oil) and 2 litres per person per day for simple packaged cooking oil with the Minyakita trademark.

"All parties must comply with the guidelines for selling people's cooking oil. The Ministry of Trade will not hesitate to supervise and take action against business actors who ignore this regulation", said Kasan.

Increase Cooking Oil Supply

Kasan said, ahead of this year's fasting month and Eid al-Fitr, the Ministry of Trade ensured that domestic demand for Domestic Market Obligation (DMO) people's cooking oil was met, both in the form of bulk cooking oil and packaged cooking oil with the Minyakita brand.

Including, continued Kasan, increasing the supply of DMO cooking oil by 50 per cent more per month to 450,000 tons per month.

The Ministry of Trade has also begun to stop selling people's cooking oil online.

Sales of people's cooking oil, both bulk and simple Minykita packaging, are focused on the people's market.

"Sales of people's cooking oil, especially Minyakita online have temporarily stopped and sales of people's cooking oil are currently prioritized in people's markets so that there is equity for the middle and lower-income people so they can buy people's cooking oil easily and at affordable prices", he concluded.