Menkop Pede Accelerate Operationalization Kopdes Will Help Control Inflation

Minister of Cooperatives (Menkop) Ferry Juliantono. (Photo: Public Relations Kemenkop)

Minister of Cooperatives (Menkop) Ferry Juliantono emphasized the government's commitment to accelerating the operation of the Red and White Village Cooperative (Kopdes/Kel) as a new instrument for strengthening the village economy as well as supporting the stabilization of national inflation.

Therefore, efforts are needed to accelerate the construction of outlet facilities and warehouses as well as other physical facilities in each Red and White Kopdes/Kel.

Ferry emphasized that the stage of accelerating physical development is the key to operationalizing village cooperatives nationally as stipulated in Presidential Instruction (Inpres) Number 17 of 2025.

It is targeted that by March 2026 all physical assets in the form of warehouses, outlets and other supporting facilities will have been built and then operated.

He asked for support from all local governments in Indonesia to help carry out an inventory of the land that will be used as a place for the construction of these outlets and warehouses in line with Presidential Instruction No. 17 of 2025.

To achieve this target, every day, data collection on land is needed at least 1,000 land points in the regions so that the construction can be carried out immediately.

On the other hand, the Coordinating Minister also asked regional heads to maximize their role in monitoring and intervening inflation, maintaining economic stability from villages for Indonesia.

"Every day we have to inventory at least 1,000 soil data because at the Plenary Cabinet Meeting, the President conveyed that the target of all physical construction of the Village Cooperative can be completed and ready to operate in March 2026," said Ferry Juliantono in a statement to the media, Monday, October 27.

Menkop Ferry revealed, until October 2025, as many as 82,223 village cooperatives had the status of legal entities with 1,12 million members.

Of this number, around 68,603 cooperatives already have Village Cooperative Management Information System accounts (Simkopdes), and 18,049 of them actively update their data including data related to the ownership status of operating outlets.

After the inauguration, we moved quickly to build a physical warehouse and outlets. We are currently focusing on physical development as a prerequisite for operationalization (Kopdes)," he explained.

Menkop Ferry emphasized that after the Kopdes/Kel Merah Putih operates, it will certainly become a new channel for the government to make efforts to stabilize food prices to inflation.

Kopdes can also become the lowest economic institution that can directly become a distribution channel for government programs related to the distribution of social assistance or subsidies to the community.

"When the operation of this cooperative runs, the monitoring process for inflation will be more detailed and complete and government intervention (to control inflation) can be carried out directly through the Village Cooperative," said Menkop Ferry.

In addition, Ferry also reiterated that the Kopdes/Kel Merah Putih can also function as offtakers of the production of the community from the plantation, agriculture, and handicraft sectors.

Produk-produk dari masyarakat tersebut dapat disimpan di dalam gudang yang dikelola oleh Kopdes untuk kemudian produk tersebut dapat didistribusikan kembali kepada masyarakat ketika terjadi gejolak harga.

Di sinilah Kopdes/Kel Merah Putih dapat menjadi salah satu instrumen untuk mengendalikan dan melakukan stabilisasi harga.

“(Contohnya) gabah dari petani bisa dibeli oleh Koperasi kemudian disimpan di gudang. Ini juga dalam rangka untuk membantu menjaga stok dan mencegah lonjakan harga,” katanya.

Products from the community can be stored in warehouses managed by Kopdes so that these products can be re-distributed to the public during price fluctuations.

This is where the Kopdes/Kel Merah Putih can become one of the instruments to control and stabilize prices.

(For example) unhulled rice from farmers can be purchased by Cooperatives and then stored in warehouses. This is also in order to help maintain stock and prevent price spikes," he said.