Rice Price Breaks Rp7,500 Per Kg, Food Station Admits Rice HPP Has Exceeded HET 

ILLUSTRATION/ Condition of the wasah land in Cirebon Regency, West Java, Sunday (26/4/2026). ANTARA/Fathnur Rohman.

JAKARTA - The surge in rice prices has begun to put pressure on rice producers. PT Food Station Tjipinang Jaya said the cost of production (HPP) of rice is now higher than the highest retail price (HET) set by the government.

Food Station President Director Dodot Tri Widodo said the increase in the price of rice at the farmer level was the main factor. The price, which should refer to the government's HPP at Rp6,500 per kilogram, is now far above it.

"Now the price of rice has gone up. From the government's HPP it is Rp6,500, the reality in the fields is Rp7,500," Dodot told reporters, Wednesday, April 29.

This condition immediately impacts the cost of producing rice. With a simple calculation, the high price of paddy makes the price of rice also pushed up even before taking into account other costs.

"To (process into) rice from the grain, it's just twice. So 7,500 times two is 15,000. That's just becoming rice, not the cost of packaging, transportation costs, operations like that, so our HPP is above HET," explained Dodot.

Currently, the HET for premium rice is at Rp14,900 per kilogram and medium rice at Rp13,500 per kilogram. This means that producers are in a tight position because production costs are higher than the permitted selling price.

"Well, this is a problem. while we are not allowed to sell above HET. later if we sell above HET, it is a violation, and there is a Food Task Force. government rules like that," he explained.

On the other hand, if the government does not raise the HET, Food Station admits that it is impossible to sell rice with a loss-making scheme.

"It's true that we can't sell at a loss, because if we sell at a loss, then our performance will be bad," said Dodot.

Dodot assessed that one of the realistic solutions is the adjustment of HET so that producers can survive. This proposal will be submitted through the rice milling industry association.

On the one hand, the Jakarta regional business entity (BUMD) in the food sector is preparing a number of strategies to maintain performance and supply.

Special rice products such as organic rice, red rice, and fortified rice are one of the options because they are not tied to HET so they still have margins. In addition, the company is also encouraging bulk sales to reduce packaging costs.

"We also encourage sales that do not use 5-kilogram packaging, meaning bulk orders, 25 kilograms, 50 kilograms. So, we can reduce the cost of packaging," he said.

This scheme will target traditional markets and small traders, although it is admitted that it cannot be widely applied in modern retail. "So we sell rice in 50-kilogram packaging to street vendors, so that housewives go to the warung just bring their own packaging. That's one way, even though it can't be massive," he continued.