Sri Mulyani Drains Bulog's Rice Of IDR 3.5 Trillion For Social Assistance: So Can Buy Harvested Farmers' Grain

Illustration (Photo: Doc. Bulog)

JAKARTA - Minister of Finance, Sri Mulyani, said that if the rice assistance to be given to the community during the Implementation of the Emergency Community Activity Restrictions (PPKM) would utilize the stock owned by the Logistics Affairs Agency or Bulog. She conveyed this certainty when holding a virtual press conference on Our State Budget on Wednesday, July 21

According to the Minister of Finance, Bulog will be able to replenish the food stock by purchasing grain from farmers, which are currently in the harvest period.

"We take this rice from Bulog to be distributed to recipients of social assistance so that Bulog can reduce the amount in the warehouse and then refill it through purchasing grain from farmers who are harvesting", she said.

Furthermore, the Minister of Finance also emphasized that this strategy is considered to be very effective in maintaining selling prices in the midst of the current overflow of production.

"Thus, the price of grain at the farm level will not decrease because Bulog can absorb the results", he said.

For information, the government is committed to distributing 10 kg of rice each to 28.8 million families who receive cash social assistance and also the basic food card program with a budget of IDR 3.58 trillion. This step is intended as a cushion for the extension of the Emergency PPKM policy set by the government.

Meanwhile, the Bulog rice purchase budget is included in the social protection fund in the 2021 National Economic Recovery (PEN) scheme with a total of IDR 187.8 trillion.

To note, on July 16, 2021, the Social Security Fund has been realized for IDR 82.22 trillion, or 43.8 percent of the provided ceiling.

Meanwhile, the PEN budget itself increased from the previous IDR 699.43 trillion to IDR 744.75 trillion, with the amount that has been absorbed to date amounting to IDR 277.36 trillion.