SOEs Contribution Very Vital For Food

Ministry of SOEs (Photo: VOI)

JAKARTA - The contribution of State-Owned Enterprises (BUMN) is vital for the food sector, including in the provision of fertilizers. Thus, the discourse of converting SOEs into cooperatives is not appropriate.

"The role of SOEs is very large in helping farmer groups, especially for fertilizers, seeds, and pesticides," said Yadi Sofyan Noor, Chairman of the National Mainstay Fisherman Farmers' Contact Group (KTNA) quoting Antara.

He asked for the discourse of disbanding SOEs and replacing them with cooperatives to be reviewed. Sofyan believes that changing the status of SOEs to cooperatives will affect the role and contribution of SOEs to the agricultural sector.

"The impact for farmers is certainly very detrimental by starting a new system that has not been tested," said Sofyan.

Sofyan added that SOEs can be a catalyst for cooperatives. This is a tangible manifestation of increasing the role of SOEs and cooperatives in advancing national food.

"In my opinion, it is not disbanded. Instead, SOEs can increase their role in fostering and raising cooperatives. So, SOE programs can involve and invite cooperatives," said Sofyan.

The discourse of changing SOEs into cooperatives has emerged in recent times and sparked various opinions from various circles. This discourse is said to have emerged from an independent figure who was present in a discussion held by the winning team of one of the presidential and vice presidential candidate pairs in the 2024 General Election.

Meanwhile, SOE Minister Erick Thohir said the discourse on disbanding state-owned SOEs or corporations would only lead to new unemployment in Indonesia, considering that 1.6 million people were BUMN employees.

"It is ironic that the view is like that. If you want to be disbanded and replaced with a cooperative, it is tantamount to creating new unemployment when everyone needs jobs," he said.

He conveyed that BUMN employees have proven themselves to be agents of change in Indonesia's economic development, which currently has a growth of 5 percent.

According to him, all state-owned corporations in 2023 have produced the largest dividend in Indonesia's history, which is IDR 82.1 trillion so that the profits obtained from SOEs have become a strong foundation for economic growth in the country.