Increased Rice Prices And Fuel Makes A List Of Poor People Added

Illustration of people who still live under the poverty line. (Photo: Doc. Antara)

JAKARTA - The increase in rice prices will have an impact on increasing the list of poor people in Indonesia. This is because the increase in commodities occurred amid the increase in fuel oil prices (BBM). This condition has an impact on the inflation rate.

The price of rice has recently increased. Quoted from the Strategic Food Price Information Center (PIHPS) on September 22, the prices of lower quality rice I and II are IDR 11,000 and IDR 10,700 per kg. Meanwhile, medium I rice is priced at IDR 12,100 per kg, up from IDR 12,050 on September 20.

Meanwhile, the price of medium II rice continues to increase. Currently, the price of rice is recorded at Rp11,950 per kg, an increase of Rp50 from Rp11,900 from the previous day. Meanwhile, on September 20, the price of quality rice was recorded at Rp11,850 per kg. The price is the national average.

Director of the Center of Economic and Law Studies (Celios) Bhima Yudhistira said rice had a considerable impact on inflation. Bhima said, the last 5 years of rice stock in the country was sufficient for national needs, so there was no turmoil in general inflation because the price of rice was relatively small.

"Now the conditions are different, there is an increase in fuel prices where transportation services are getting more expensive, so it affects rice prices at the consumer level," he told VOI, quoted Thursday, September 22.

Moreover, said Bhima, the increase in fuel also corrected the cost of agricultural input. For example, fertilizer is also rising. "It has an effect on food inflation," he said.

To measure how important rice is, said Bhima, it can be seen from the contribution of rice to the poverty line of 23 percent in rural areas and 19.3 percent in the highest urban area compared to other components.

This means, continued Bhima, the price of rice that has increased slightly will increase and lead to an adjustment to the poverty line. "The poor will increase if the rice is expensive," he said.

Just a Rp100 increase per kg

As previously reported, the Ministry of Trade (Kemendag) spoke about the increase in rice prices. Through the Acting Director General of Domestic Trade Syailendra, the Ministry of Trade admitted that there was an increase, but not too big.

"The price of rice has only increased by Rp100 (per kilogram)," he said when met at the Indonesian Attorney General's Office, South Jakarta, Friday, September 16.

Furthermore, Syailendra said that in order to maintain rice stocks and prices, the Ministry of Trade has worked with the Logistics Affairs Agency (Bulog) Perum.

Syailendra also admitted that he had collaborated with the National Food Agency (Bapana) to intervene in the market, especially for premium class rice. In addition, the Ministry of Trade has synergized with Bapanas to distribute Government Rice Reserves (CBP).

Syailendra said, the current stock of CBP is sufficient to meet domestic needs. "We have a stock of almost 900 thousand tons," he said.

Meanwhile, Trade Minister Zulkifli Hasan revealed that the price of basic goods was still monitored to be stable, although subsidized fuel oil (BBM) prices had increased some time ago. This means that there has been no significant impact as a result of the increase in fuel prices.

Zulhas, as Zulkifli Hasan is familiarly called, also ensures that the Ministry of Trade will continue to keep prices for basic necessities stable.

"The increase in subsidized fuel has not affected the price of basic necessities that are still stable," said Zulhas, in an official statement, Thursday, September 15.