The Price of Staple Foods in Puncak Jaya has Down by 25%

The Price of Staple Foods in Puncak Jaya has Down by 25%

Sakhiyatun K (MaCDIS Researcher)

Minister of State-Owned Enterprises (BUMN) Rini Soemarno promised that the price of expensive commodities in Puncak Jaya Regency, Papua will drop by 25 percent in the next one month. Rini said she had spoken with the Director of Indonesian Trade Company (PPI) Agus Andiyani regarding this plan.

Keywords: Papua, West Papua, Puncak Jaya, commodities, economy, price reduction, staple foods, BUMN, PPI

“I have instructed Mr. Agus Andiyani, PPI president director, that the prices said by the regent for flour, rice, and sugar should be able to go down 25 percent. Within a month, “said Rini in Puncak Jaya Regency, Papua, Tuesday, August 22, 2017.

Rini explained, to lower the price of staple foods is certainly done in stages and involve several State-Owned Enterprises. Meanwhile, PPI President Director Agus Andiyani said that in reducing some of these commodities will use cross-subsidy mechanism. The area that makes a big profit then should help push prices in areas with high in the price of basic commodities. Agus also optimistic that the target price reduction of staple foods in Puncak Jaya can be reduced in one month ahead.

PT Perusahaan Perdagangan Indonesia (PPI) will press the price of three types of food for the community in Puncak Jaya, Papua. Agus explained, three types of basic foods are cooking oil, wheat flour, and sugar. “After my visit with Mrs. Minister (Rini), the price of three basic commodities is expensive, namely cooking oil, sugar, and flour. The problem is the cost of logistics and transportation. In Papua, transportation is more expensive than other regions “said Agus Andiyani in the Ministry of SOEs, Tuesday (10/10/2017).

Agus explained, the selling price of three staple foods of PT PPI in Puncak Jaya is 25 percent below the market price. The market price in Puncak Jaya for sugar that was Rp. 29.000/kg could be Rp. 21,750, cooking oil from Rp31.000/liter to Rp. 23.250, and wheat flour from Rp24.000/kg to Rp18.000.

The decline in the price is the result of food supply schemes by PT PPI through Surabaya-Timika-Wamena-Puncak Jaya. With details, delivery of Surabaya-Timika using sea tolls, Timika-Wamena using cargo plane, and Wamena-Puncak Jaya through truck with capacity of 5 tons. Although it looks convoluted by going through three different transportation, it proves it can suppress the price by 25 percent. Which is due to adjust the schedule between modes of transportation.

PPI also cooperates with other BUMN such as PT Pos Indonesia, Pelni, and Pelindo to deliver food to Puncak Jaya. “This is a synergy factor between large of BUMN and also between stakeholders” he concluded.

papua pedagang ayu

Image from: metrotvnews.com

References:

Annisa Ayu Artanti, Menteri BUMN Targetkan Harga Sembako di Puncak Jaya Turun 25%, http://ekonomi.metrotvnews.com/mikro/8ko0WYWK-menteri-bumn-targetkan-harga-sembako-di-puncak-jaya-turun-25

Bambang Ismoyo, PPI Tekan Harga Sembako 25% di Puncak Jaya, https://www.wartaekonomi.co.id/read157305/ppi-tekan-harga-sembako-25-di-puncak-jaya.html

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