Main Expert at KSP Edy Priyono noted in his statement received here on Wednesday that cooking oil was already available in traditional and modern markets, though their distribution was not even.
He remarked that the situation came into light when the team from the office checked the markets for availability and price of bulk cooking oil in traditional and modern markets in Semarang, Central Java.
“Of the four markets that we (the Presidential Staff Office team) visited, Minyakita is still available in three markets. Hence, the distribution is still not even,” he remarked.
Moreover, despite availability in the market, the public's interest in buying Minyakita, the people's packaged cooking oil brand, was still not too high since it was more expensive than ordinary bulk oil, he remarked.
In traditional markets, the price of bulk cooking oil usually ranged from Rp12 thousand to Rp13,500 per kilogram. Meanwhile, the price of oil is in accordance with the Highest Retail Price (HET) that is set at Rp14 thousand per liter.
“It could be that this price difference makes people still choose ordinary bulk cooking oil. Moreover, in (practice), we still find some traders selling Minyakita at a price above HET,” he added.
He stated that Minyakita had several plus points, such as the use of a pillow pack or the standing pouch design. He added that Minyakita was more hygienic.
With the packaging of Minyakita, distribution to remote areas would be easier, he remarked.
"This also solves technical problems in (practice), such as the limitations of transporting tank cars and storage tanks among traders, who are often causal to the availability and affordability of bulk cooking oil not being optimal," he pointed out.
The KSP conducted verification of the availability and price of bulk cooking oil, both the People's Bulk Cooking Oil and People's Packaged Cooking Oil. This was a follow-up to the government's policy through the Trade Ministry regarding the Governance of the People's Packaged Cooking Oil.
The policy stipulated in Trade Ministry's Regulation No. 41 of 2022 set the launch of the cooking oil program with the Minyakita brand in July 2022.
Minyakita aims to provide an alternative for business actors in distributing cooking oil to meet the domestic market obligation (DMO).
The Trade Ministry had determined Minyakita as a DMO distribution program to be sold at the HET of Rp14 thousand per liter or equal to the HET of bulk cooking oil.
With increasingly more number of entrepreneurs joining the program, the ministry expects the distribution of cooking oil from DMO to be distributed more quickly, which in turn would increase the volume of CPO exports.
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Translator: Indra Arief P, Mecca Yumna
Editor: Rahmad Nasution
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