APKLI-P Chairman Urged President Prabowo Withdraw Modern Retail Permit in Villages to Save Grocery Shops

JAKARTA - The General Chair of the Indonesian Five-Foot Merchant Association (APKLI-P), dr. Ali Mahsun ATMO, M. Biomed, conveyed a strong plea to President Prabowo Subianto to immediately revoke the retail permit for modern retail in rural areas. This step is considered urgent to stop the economic "colonization" that has killed millions of grocery stores and traditional markets for almost three decades.

According to Dr. Ali Mahsun, the current economic condition of small people is at a critical point due to the dominance of global networked modern retail that has penetrated even to the corners of the village.

The Bad Impact of Modern Retail: 2.2 Million Street Vendors Roll Up Their Mats

Data presented by APKLI-P shows an alarming figure. From 6.1 million grocery stores in 2007, now only about 3.9 million remain in 2025. This means that there are about 2.2 million units of people's businesses that have gone bankrupt.

"For 27 years since the 1998 IMF LOI, the small people's economy has been bombarded and ground down by modern retail. Village money does not circulate in the village, but is sucked out by large capital owners. This must be stopped," said dr. Ali Mahsun in Jakarta, Sunday (22/2/2026).

Criticism of Past Policies

Ali Mahsun highlighted several regulations that are considered to legitimize the destruction of the people's economy, including:

Presidential Decree No. 112 of 2007: Regarding Traditional Markets and Modern Shops. September 2015 Policy Package: Which loosens modern retail permits to the corners of the country.

He assessed that institutions such as the Indonesian Competition Commission (KPPU) are currently powerless in eradicating modern retail monopoly and oligopoly practices due to limitations on their authority.

APKLI-P's demands to President Prabowo Subianto

On behalf of small traders, PKL, UMKM, and grocery stall owners throughout Indonesia, APKLI-P conveyed three main demands to the 8th President of the Republic of Indonesia:

Revocation of Permits: Immediately revoke the operational permit for modern retail located in villages throughout Indonesia. Cancellation of Regulations: Cancel the IMF LOI 1998, Presidential Decree 112/2007, and September 2015 Policy Package. Economic Sovereignty: Restore the economic dignity of the people in accordance with the mandate of the opening of the 1945 Constitution.

"In the era of President Prabowo Subianto, this momentum is present to end economic colonization and restore people's sovereignty. This is not just a matter of trade, but a matter of the survival of tens of millions of small people," concluded the former Assistant Rector of Undar Jombang.