TEMPO.CO, Jakarta - Coordinating Minister for Economic Affairs Darmin Nasution urged state-owned enterprise to enter the upstream poultry industry to help level the competition between private broiler chicken farmers and large companies, and lower broiler chicken prices.
"We need to design a policy right now," Darmin said during a meeting at his office on Friday, May 13, 2016.
Based on the Commission for the Supervision of Business Competition's (KPPU) observation on January and February 2016, price disparity of poultry product was quite high. Chicken farmers sold their products to distributors at Rp. 10,000 while prices in the market can reaches up to Rp 38,000 to Rp 40,000.
State-Owned Enterprise Minister Rini Soemarno, who was present in the meeting, welcomed Darmin's instruction. Rini agree that such measures need to be taken to reduce chicken prices to a more affordable level.
"We will make presentations, calculations, and a thorough study. We have one week [to do so]. SOEs must intervene and [level the competition]," Rini said.
Similarly, Industrial Minister Saleh Husin stated that SOEs must enter the upstream poultry industry to stabilize chicken prices.
ANGELINA ANJAR SAWITRI
