Ikappi Calls The Surge In Rice Prices Up To Rp. 18,000 Highest In History

The price of premium rice, which had penetrated Rp. 18,000 per kilogram (kg), is considered the highest level in Indonesia's history.

"Yes, that's right," said Chairman of the Indonesian Market Traders Association (Ikappi), Abdullah Mansuri in his statement, Saturday, February 24.

He said the trigger for the increase in rice prices was because there were not much stock and supply. "Our rice production is limited to 2023," he said.

BPS noted that national rice production in 2023 decreased by 2.05% to reach 30.90 million tons from 31.54 million tons in 2022. The decline was in line with the decline in the 2023 harvest area by around 2.45% or 0.26 million hectares (ha) from 10.45 million ha in 2022 to 10.20 million ha this year.

In addition, he said, the production of 2024 rice was shifted or delayed due to the planting season. "This means that there must be fulfillment due to the postponement of this planting season, so it needs a lot of supply," he said.

Moreover, said Mansuri, currently people will face Ramadan so that they need more basic commodities, including rice. "The need for 2024 is greater," he said.

Mansuri said the solution was that the government had to work hard to pour rice to reduce price pressures.

Referring to the food price of the National Food Agency (Bapanas), Saturday (24/2/2024), the average price of premium quality rice fell 0.06% to Rp16,260 per kilogram, while the price of medium quality rice slightly decreased 0.14% to Rp14,190 per kilogram.

However, the price of rice is still above the highest retail price (HET) set by the government in the National Food Agency Regulation (Perbadan) No.7/2023 amounting to IDR 10,900-IDR 11,800 per kilogram for medium rice and IDR 13,900-IDR 14,800 per kilogram for premium rice.