The ministry's Director General of Consumer Protection and Business Conduct Rule Moga Simatupang said here Sunday that 316 business actors in 23 provinces had been supervised from November 2024 to March 12, 2025.
"The results of this supervision showed that 66 business actors at the distributor and retailer levels were found to have violated the rules and, therefore, are subject to sanctions," he said.
They, for instance, were proven to have sold Minyakita above the domestic price obligation (DPO) and price ceiling (HET).
The ministry also found the Minyakita products to have been sold among retailers, not directly to end consumers. As a result, the chain of distribution gets lengthened, resulting in price hike at the consumer level, he said.
Other violations found during the supervision include business actors without having valid warehouse registration mark (TDG) and appropriate Indonesian Standard Classification of Business Fields (KBLI); business actors who do not provide data and information to supervisory officers; as well as business actors who pack or produce Minyakita with quantity fraud.
Referring to the Government Regulation Number 29 of 2021 concerning the Implementation of the Trade Sector and the Minister of Trade Regulation Number 18 of 2024 concerning Packaged Palm Cooking Oil and Governance of People's Cooking Oil, producers/repackers who breach the rules will be subject to further sanctions after receiving warning letters containing requests for withdrawing goods from distribution, he said.
Simatupang further said that if the violations continue, sanctions can be increased to temporary suspension of business activities, warehouse closures, and/or recommendations for revocation of business licenses.
Based on Law Number 8 of 1999 concerning Consumer Protection, the business actors are required to produce and/or trade goods according to the net weight, size, or dosage stated on the label.
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"If they violate the provisions, they are subject to a maximum imprisonment of five years or a fine up to Rp2 billion (US$118 thousand)," he informed.
He added that the ministry has also supervised products circulating in the market (post market) by examining 88 producers/repackers in 168 districts/cities.
The ministry found 40 producers/repackers whose product volumes violate the packaging label. They will be subject to administrative sanctions and are required to immediately make improvements during which local governments will monitor to prevent shortages.
On the other hand, the ministry has also asked producers to double the supplies of Minyakita to maintain the availability of products and stable prices of basic necessities during Ramadan and ahead of Eid al-Fitr 2025, he added.
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Translator: Maria Cicilia G P, Resinta Sulistiyandari
Editor: Rahmad Nasution
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