Antara News·Indonesia·Thursday, November 5, 2026 at 10:41 AM UTC

Indonesia redirects US$204 million to support poultry, corn farmers

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Destyan HS, Rahmad Nasution

After farmer representatives from across Indonesia, including Blitar, met us in Jakarta, we cut spending on hotel seminars, official travel and office renovations,

Blitar, E Java (ANTARA) - The Indonesian government will reallocate Rp3.7 trillion (approximately US$204 million) to support small-scale poultry farmers and corn growers, Agriculture Minister and National Food Agency Head Andi Amran Sulaiman said.

Amran announced the measure at an event involving state-owned food companies and small-scale egg farmers in Slemanan Village, Blitar District, East Java Province, on Thursday.

He said the budget reallocation followed appeals from farmers in several regions, including Blitar, some of whom had previously staged a protest outside the Agriculture Ministry in Jakarta.

The government will fund the reallocation by cutting spending deemed nonessential, including hotel-based seminars, official travel, and office renovations.

"We are delivering on our promise today. After farmer representatives from across Indonesia, including Blitar, met us in Jakarta, we cut spending on hotel seminars, official travel and office renovations," he said.

Amran said the funding would help establish an integrated livestock supply chain, from securing animal feed supplies to purchasing farmers' produce. The government also aims to strengthen Red-and-White Cooperatives as platforms for consolidating local farmers without disrupting existing cooperatives.

Under the plan, the government will purchase corn harvested by farmers to meet the feed requirements of livestock producers.

State logistics company Bulog would absorb surplus corn through a warehouse receipt system to ensure supplies remain available during periods of scarcity. The government also plans to purchase eggs from farmers to support prices at the farm-gate level.

Amran said the government aimed to set a minimum purchase price of Rp24,000 per kilogram (approximately US$1.32) for eggs under its government purchase price policy.

He added that the government had coordinated with the police to monitor distribution channels and address suspected trading practices that harm farmers.

Separately, Bulog Managing Director Ahmad Rizal Ramdhani said Bulog and state-owned food company ID FOOD had prepared a combined revolving fund of Rp30 billion (US$1.65 million) to purchase eggs from small-scale farmers nationwide.

The purchases would be coordinated with the Free Nutritious Meals (MBG) program, including supplies for Nutrition Fulfillment Service Units (SPPG).

Ramdhani said Bulog was purchasing eggs directly from small-scale farmers to support prices. The revolving fund was intended to keep prices within the benchmark range of Rp24,000 to Rp26,000 per kilogram.

At the event, Bulog also symbolically distributed 180 tons of corn under its Food Supply and Price Stabilization Program to representatives of 18 small-scale livestock cooperatives.

The corn is available at Bulog warehouses for Rp5,000 per kilogram (approximately US$0.28), subject to the program's requirements.

Bulog and ID FOOD will conduct nationwide egg purchases in stages through December 2026.

Through corn supply support and egg purchases, the government aims to contain production costs, stabilize farm-gate prices, and sustain small-scale poultry businesses.

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