Non-Merata Supply Is The Cause Of Oilita Prices Moving Above HET

JAKARTA - The Ministry of Trade (Kemendag) revealed that the cause of the price of simple packaged cooking oil with the Minita trademark has increased well above the highest retail price (HET). The reason is because the supply is uneven.

As is known, the highest retail price (HET) set by the order for the Oilita commodity is IDR 15,700 per liter.

Director of Trade Order of the Directorate General of Consumer Protection and Trade Order (PKTN) of the Ministry of Trade, Mario Josko, admitted that the supply of Oilita was not evenly distributed in all regions in Indonesia.

Mario said the supply of Oilita was not evenly distributed because the amount feared could not meet all existing demand.

"Indeed, we realize that the supply of Oilita is not evenly distributed because it is indeed the number that we are worried about cannot meet all requests," he said at an online Inflation Meeting with the Ministry of Home Affairs, in Jakarta, Monday, June 23.

Mario admitted that his party had carried out a number of mappings and resolved the problem of the lack of distribution of Oilita per region.

"We are trying to solve it per region. For example, in the eastern region of Papua, we saw a mapping from the market, then which market, for example, there are no distributors and so on, we try to make supplies," said Mario.

Currently, Mario said, the national average price of Oilita is currently at IDR 16,706 per liter, down 0.6 percent compared to last week.

However, he continued, there are nine provinces that are of concern to the Ministry of Trade because the price of Oilita in the area has increased by more than 10 percent above the HET.

In detail, the price of East Nusa Tenggara (NTT) is IDR 18,133 per liter; South Papua IDR 18,000; Gorontalo IDR 17,708; South Kalimantan IDR 17,700; West Nusa Tenggara (NTB) IDR 17,626; Bali IDR 17,542; Central Papua IDR 17,500; and Southwest Papua IDR 17,500.

Mario admitted that his party had coordinated with Perum Bulog to prepare distribution steps for the nine provinces that were still experiencing an increase in prices.

Furthermore, Mario said, based on the monitoring of the Ministry of Trade, several districts/cities that still have high prices for Oilita because they do not have distributors and retailers.

"Well, the hope is that this SOE can complement each other, so if for example there is no D1 and D2 of the private sector, this from BUMN can help to supply these areas," he explained.