JAKARTA Head of the Central Statistics Agency (BPS) Margo Yuwono opened up about the cause of the increasing inflation rate in the second half of this year. According to him, the main source of the current hoist is caused by the high increase in food prices (volatile food).
Meanwhile, Margo's focus is on two important commodities that often make high inflation contributions.
"To provide a note why these red chilies and shallots always provide high inflation from January to July 2022 due to distribution issues," he said when giving a statement to Commission XI of the DPR at the Senayan Parliament Complex, Jakarta, Wednesday, August 31.
According to Margo, the production base for red chili commodities is in West Java and East Java. This condition makes prices in several other provinces high.
So it's clear, not only red chili but also shallots, the main problem is in distribution. This is our challenge so that these two commodities are controlled so as not to contribute to inflation," he said.
Margo added, in the context of maintaining inflation, the government also needs to pay attention to the import of food ingredients.
We all know that our wheat is still importing, soybeans, sugar, and beef is also still imported. This must be affected by international price movements and will have an impact on domestic consumption," he said.
According to VOI records, this year's highest inflation rate occurred in the July period with 4.94 percent. This figure is the highest since October 2015, which at that time was at the level of 6.25 percent.
Meanwhile, the inflation target in the 2022 State Budget Law is 3 percent plus minus 1 percent.
This means that the amount that is happening now has exceeded the macro estimate set by the government.
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