Antara News·Indonesia·Friday, September 25, 2026 at 10:19 AM

Indonesia targets illegal rice trade as losses reach Rp90 triliion

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Muhammad Harianto, Yashinta Difa

Jakarta (ANTARA) - The Indonesian Government has reaffirmed its stance against illegal practices in the national rice trade, vowing to dismantle illicit operations while strengthening price stabilization and safeguarding national food supplies.

Head of the National Food Agency (Bapanas) and Minister of Agriculture Andi Amran Sulaiman said fraudulent practices in the sector had siphoned an estimated Rp90 trillion (approximately US$5.02 billion) from the public.

"There is no room for rice mafias in Indonesia. We are taking them on," Amran said in Jakarta on Friday.

He cited severe price distortions in which fortified rice, which should ideally be sold at Rp13,000 (US$0.73) per kilogram, was instead being marketed for as much as Rp57,000 (US$3.18) per kilogram.

Law enforcement authorities have named 102 suspects in connection with ongoing investigations into the rice trade.

In addition, cases involving approximately 25 companies engaged in the fortified rice business have been referred for further regulatory and legal action.

Amran stressed that Bapanas has the authority to take decisive measures against non-compliant businesses, including mandatory product recalls, business license revocations, operational moratoriums, and criminal prosecution.

To stabilize prices and maintain market equilibrium, the government continues to deploy strategic interventions using national reserves of more than 4 million tons.

The government is also distributing food assistance to 33.24 million people and releasing an additional 1 million tons under the Food Supply and Price Stabilization (SPHP) program.

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