JAKARTA - The National Food Agency (NFA) assesses that Presidential Regulation Number 125 of 2022 concerning the Implementation of Government Food Reserves (CPP) has made the role of the BUMN food holding, ID FOOD, more strategic in efforts to stabilize national food.
"In national food policy management, ID FOOD with the permission of the Minister of SOEs acts as an operator of the National Food Agency in the context of commercially stabilizing food supply and prices and B2B through the government's food reserve mechanism," said NFA Head Arief Prasetyo Adi in a statement quoted by Antara, Friday, December 16.
Based on the Presidential Decree on CPP, SOEs engaged in the food sector are designated as operators for the implementation of CPP in charge of taking off or becoming standby buyers for the production of established agriculture, livestock, and fisheries.
Arief explained the central role of ID FOOD, especially in terms of providing CPP for a number of strategic food commodities, such as poultry, ruminant meat, chicken eggs, consumption sugar, cooking oil, onions and chilies and fish.
"According to Presidential Decree 125 of 2022, the government can assign Bulog and food SOEs to be part of the implementation of CPP for 11 strategic commodities. The division of tasks is clear, Bulog focuses on rice, corn and soybean commodities, while Food SOEs, in this case ID FOOD in other commodities such as poultry, industrial meat, chicken eggs, consumption sugar, cooking oil, onions, chilies, and fish," he explained.
Currently, said Arief, his party is in the stage of discussing the amount of CPP stock for each commodity, especially commodities that will be managed by ID FOOD.
In supporting the implementation of the task of implementing CPP by the BUMN, Arief said that the NFA together with the Ministry of Finance and the Ministry of SOEs have prepared a funding scheme through the Minister of Finance Regulation (PMK) Number 153 of 2022, concerning Procedures for Providing Loan Interest Subsidies in the context of Implementing CPP.
"Regarding the funding of CPP, the government, in this case, I, Mr. Erick (Minister of BUMN), the Minister of Finance together with the Director General of Treasury, and the Director General of Budget of the Ministry of Finance, continue to strive to create the best scheme. In accordance with Article 15 of Presidential Regulation 125 of 2022, the government can guarantee credit and/or interest subsidies to Perum BULOG and/or BUMN Food," he explained.
According to Arief, for 2022, it has been approved to implement a light interest subsidy to ID FOOD and Bulog with a total platform of IDR 3 trillion, IDR 1 trillion for Bulog and IDR 2 trillion for ID FOOD.
"I think this is a good opportunity that we must take and do optimally," he said.
The strengthening of the role of food SOEs is in line with the direction of the President of the Republic of Indonesia in terms of increasing production and domestic food availability.
Through good absorption and stock storage, we can support a lot of farmers, a lot of our farmers produce food to the maximum, as much as possible. For the results, we encourage Food SOEs, especially the ID FOOD, to become off takers. With market certainty, price certainty and payment time, farmers become more prosperous, so that they can continue to increase productivity in a sustainable manner without worrying that their products will not be absorbed," he said.
Based on the data collected, the highest food stock at ID FOOD as of December 12 is 25 thousand tons of sugar, and other commodities, namely rice, beef, chicken meat, and cooking oil.
Arief said, as the role of the food BUMN holding as the organizer of the CPP, it is hoped that the number of CPP stocks of strategic food commodities other than rice can be available and continues to increase, so that in 2023 the government will have a more diverse CPP.
With the better CPP implementation system, it is hoped that Indonesia will have better food management. There is no more sharp price fluctuations and fluctuations both upstream and downstream, thus providing a sense of security to the community as consumers and farmers, farmers, and fishermen as producers," said the Head of NFA.
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