The circular, signed by Setiadi on Tuesday (March 18), is addressed to governors, district heads, mayors, heads of regional offices overseeing cooperatives, and village leaders across Indonesia. It serves as a reference for these officials to implement the national program.
Through the circular, the minister set the period between March and June this year as the timeline for the stages of forming rural cooperatives, which includes preparatory steps involving intensive dissemination of the program to all regional governments, including rural administrations.
He also encouraged relevant stakeholders in the targeted villages to first hold a deliberation to decide on several crucial and fundamental matters before proceeding with the plan to establish a Red and White cooperative.
"This forum (discussion) should result in the determination of the name, business model, capital, membership, and the scheme for the election of managers or operators of the cooperative," he explained.
Setiadi detailed the next steps, noting that a cooperative will require a notary to issue a deed for its establishment before it can be proposed to be legalized as a legal entity by the Ministry of Law.
Alluding to villages with existing cooperatives, the minister highlighted that the government would first assess the performance of these business entities before making any decision regarding their future.
He explained that if an existing cooperative, after an assessment, is deemed reliable and supportive of the program, it can be rebranded as a Red and White cooperative.
"Meanwhile, existing cooperatives with unfavorable performances will be revitalized," he stated.
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Translator: Aji C, Tegar Nurfitra
Editor: Rahmad Nasution
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