AEI Reveals MBG Program Is Risky Triggering Food Price Increase

Illustration: Photo: Doc. ANTARA

JAKARTA - The Indonesian Economist Alliance (AEI) reminds that the Free Nutrition Food (MBG) program currently run by the government has the potential to have serious economic impacts if implemented widely without careful planning.

AEI Representative Vid Adrison assessed that the increase in demand for food from MBG kitchens was at risk of encouraging rising prices in the market.

"There are other side impacts if the MBG is carried out massively, namely, it is very likely that food prices will increase," Vid told the media crew at the Coordinating Ministry for the Economy Office, Monday, September 29.

Vid said the amount of demand from MBG would reduce the availability of goods in the public market.

"This is a very, very large demand from the MBG kitchen, it will definitely result in fewer product prices in the market. Yes, the implication is that there is an increase in prices, and remember,

According to him, as a result of this reduced supply, food prices will experience an increase felt by all levels of society, and low-income groups will be most vulnerable to the impact.

"This price increase will be felt by each party, which is a bit heavy for the poor, when food prices rise, it will have a very, very big impact on the cost of their lives, so the government could have to spend more money to provide assistance," he said.

Similarly, AEI Representative Rizki Nauli Siregar assessed that claims regarding the MBG program that was able to boost the local economy had not been proven in real terms and were even worried that the negative impacts might arise.

"The MBG article can be used to lift the local economy, we can't see the evidence yet," he said.

Rizki also questioned whether the massive implementation of the MBG suddenly would actually make the local economy grow, or vice versa, as a result of all the resources absorbed by the program.

"We understand and we support all the campaign promises made. Of course we as people want it to be done. However, how to do it, this should not hurt other things," he said.

He emphasized the importance of implementing MBG in stages through proof-based pilot programs and valid data.

Menurutnya, evaluasi terhadap program ini tidak hanya dilakukan oleh pemerintah, namun juga harus melibatkan lembaga independen untuk menjaga objektivitas.

"Jadi, kita juga tadi dikasih tahu, oh pemerintah melakukan evaluasi di sini, tapi kita pengennya evaluasi dari lembaga independen juga dong. Kalau mengevaluasi diri, coba ngasih ujian diri sendiri kan pasti selalu bagus," jelasnya.

Karena itu, Rizki berharap, kebijakan yang diterapkan harus berbasis data, transparan, dan melibatkan partisipasi masyarakat agar perbaikan kebijakan bisa dilakukan secara efektif dan akuntabel.

"Jadi yang kami tekankan itu lakukan kebijakan yang berbasis bukti oleh lembaga independen dan juga transparan supaya kita semua bisa ikut urun rembuk untuk improvement kebijakannya," pungkasnya.

According to him, the evaluation of this program is not only carried out by the government, but must also involve independent institutions to maintain objectivity.

"So, we were also told earlier, oh the government evaluates here, but we also want an independent evaluation from an independent institution. If you evaluate yourself, try to give your own test, it will always be good," he explained.

Therefore, Rizki hopes that the policies implemented must be based on data, transparent, and involve community participation so that policy improvements can be carried out effectively and accountably.

"So what we emphasize is that we carry out a policy based on evidence by independent and transparent institutions so that we can all take part in reducing policies for improvement," he concluded.