Calls Social Assistance As The Cause Of Egg Prices Rising, Trade Minister Zulhas Admits He Doesn't Meant To Blame Social Minister Risma

Illustration (Photo: Doc. Antara)

JAKARTA - The Minister of Trade (Mendag) Zulkifli Hasan said that the provision of social assistance (Bansos) from the Ministry of Social Affairs (Kemensos) was the reason for the increase in egg prices.

Even so, Zulkifli Hasan admitted that he did not intend to blame Social Minister Tri Rismaharini for this problem.

Zulhas as Zulkifli Hasan is familiar, explained that Risma did not provide social assistance in the form of chicken eggs. However, the social assistance money given was reapplied three months at a time, and one of the money was bought for eggs in various regions.

"It's not Mrs. Risma, but Mrs. Risma is providing assistance to those areas. Now the money is spent in those areas in the form of basic food assistance. It only takes 5 days, one of which contains eggs," he said at the Merdeka Palace, Jakarta, Thursday, August 25.

"Well, this is a three-month dirapel of the money (social assistance money), quite a lot. So there was a five-day demand, suddenly the market lacked supply, so if there was a little supply, I was surprised, the price went up," he continued.

Even so, Zulhas ensured that he would continue to work to push the price of chicken eggs back to normal. He set a target for two weeks to overcome the problem of egg prices which are currently rising.

"Hopefully at least two weeks it will be normal, the chicken eggs are ready, although later we will also add to the laying hens," he said.

To overcome this increase in egg prices, Zulhas admitted that he had met representatives of egg entrepreneurs. Zulhas said, entrepreneurs asked that the social assistance distribution scheme be made periodically. Thus, the production can meet the demand.

"Earlier, the suggestion from the egg entrepreneur was that social assistance could not be done every month, because eggs can't be fast. You can't lay 5 eggs once, so if you can every month, so if you spend it there won't be a lot of sudden demand," he said.

Zulhas also explained the development of egg prices when he first served as Minister of Trade. He said, at that time the price of eggs was at Rp. 32,000 per kilogram (kg).

Then it had dropped in the range of Rp. 26,000 per kg. Now, the average price of eggs is at IDR 31,000 per kg.

He admitted that he wanted to lower the price of eggs at the balance point, which is Rp. 27,000 to Rp. 28,000 per kg.

That way, said Zulhas, will not burden consumers and still be able to provide benefits to farmers.

"Regarding chicken eggs, chicken eggs are indeed Rp. 31,000 now, but when I sat down (as Minister of Trade) it was Rp. 32,000, now Rp. 31,000, it had dropped to Rp. 26,000-Rp. 25,000. Indeed, the average price was Rp. 27,000. "Rp. 28,000 is a profit for the breeder, but Rp. 31,000 is too expensive," he said.

Previously reported, Zulkifli Hasan said that early rejection or efforts to reduce broodstock production carried out by breeders to social assistance programs that affected stock at traders were the cause of rising egg prices.

Based on the monitoring of the official website of the Ministry of Trade, it was recorded that as of August 24, 2022, the price of broiler eggs at the retail level reached Rp. 31,000 per kilogram, an increase of about 2.9 percent compared to the previous week and an increase of about 6.1 percent compared to the previous month.

"The Ministry of Social Affairs happens to implement the program for three months at a time. Another egg is bought. So one early rejection, the two Ministry of Social Affairs assistance for three months. There is a lot of egg assistance, so (the price) goes up," said Trade Minister Zulkifli.