As part of the market intervention, around 150–200 thousand tons of rice reserve stocks with the State Logistics Agency (Bulog) will need to be released per month, he informed in a statement received here.
Bulog's rice reserve stocks are currently pegged at 569 thousand tons, Adi said, adding that the government is striving to keep rice prices stable through market operations by optimizing the agency's rice reserves.
The release of some 150–200 thousand tons of Bulog's rice reserve stock per month is needed to stabilize rice prices in November and December 2022, and to prevent a rise in the inflation rate, he added.
"It is time for us to release the rice stock in the second semester, especially November and December, ahead of the Christmas and New Year holiday season to stabilize the rice prices," Adi said.
The government is targeting to reduce the inflation rate in November and December so that it does not exceed the country's economic growth, he informed.
By conducting market operations, the availability of rice stocks in the community will be made sufficient, and rice prices will be well-maintained, Adi said.
"We are going to optimize Bulog's rice stocks. We have set a target of securing 1.2 million tons of rice at Bulog until the end of this year. The procurement prioritizes local farmers' products," he added.
According to Adi, importing rice would be the last option and will be undertaken only if the targeted rice stocks cannot be fulfilled on time.
Based on the Area Sample Framework and Statistics Indonesia (BPS) data, Indonesia's rice production is expected to reach 2.2 million tons in November and 1 million tons in December, he noted.
Meanwhile, Indonesia's monthly rice consumption is estimated to reach between 2.5 million and 2.6 million tons, Adi said.
"Thanks to the availability of rice stocks from the previous harvests, we guarantee that our rice stocks are sufficient. Therefore, the people do not need to be worried, and to do panic buying," he said.
The government will even maintain the availability of rice stocks all over the country, he added.
The effort to keep rice prices stable is in line with President Joko Widodo's call for securing the availability of stocks of food commodities and energy services ahead of and during religious festivities and national holidays.
"It is important because there will always be a significant increase in consumption and mobility (of people)," he added.
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Reporter: Rahmad Nasution
Editor: Azis Kurmala
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