Bulog Head Requests Increase in Minyakita Quota to 70,000 KL, Here’s Why
Jakarta - The CEO of Perum Bulog, Ahmad Rizal Ramdhani, has proposed an increase in the Domestic Market Obligation (DMO) for the people’s cooking oil brand Minyakita, distributed through the state-owned food company, from the current 35% to 65%. This step is deemed essential to strengthen the domestic supply of Minyakita, particularly amid high market demand and government food assistance programmes.
Rizal explained that the current DMO scheme is set at 35%, which is then divided among several parties, including Bulog.
“So our DMO, in accordance with the Minister of Trade Regulation, is 35%, and that 35% is divided into three: 70% to Bulog, 20% to ID Food, and 10% to Agrinas Palma,” said Rizal when met at Grogol Market, West Jakarta, on Tuesday (14/3/2026).
Of the portion received by Bulog, Rizal stated that the current volume of Minyakita supply ranges from 40,000 to 45,000 kilolitres (KL) per month.
“From that 70%, we get 40,000-45,000 kilolitres per month. Now, if it is increased (the quota from 35%) to 65%, it could rise to around 60,000-70,000 kilolitres (with Bulog still receiving 70%),” he said.
He assessed that the proposal to increase the DMO is driven by the significant tasks assigned to Bulog, not only for commercial markets but also for government food aid programmes.
“The hope is, why are we requesting an increase? Because we have assignments not only to supply the market but also to supply food aid. The current food aid is also substantial from Mr President (Prabowo Subianto), who is extraordinarily attentive to the people, namely 33 million beneficiaries,” he stated.
Although proposing an increase in DMO, Rizal assured that the distribution portions among state-owned food companies would remain balanced to avoid concentrating the workload on one party.
“(The distribution quota for Bulog remains) 70% as well. What’s the goal? Well, we can’t have more. So that it’s shared with ID Food and Agrinas Palma. So everyone shares the tasks. If Bulog takes everything, the workload would become even heavier,” Rizal explained.
He added that the portions for ID Food and Agrinas Palma would also increase proportionally if the DMO is raised.
“It will still increase (for ID Food and Agrinas Palma), according to 20% and 10%, like that. That’s what we’re proposing. Whether it goes down or not, we don’t know yet, we’re the ones proposing. Because our needs are indeed great,” he said.
Currently, the proposal is still under discussion in the government. Bulog has submitted the DMO increase through cross-ministry coordination.
“What is the policy from the Ministry of Trade? We’re waiting. Just waiting. We even proposed it with permission from the Minister of Agriculture who is also the Head of the National Food Agency (Amran Sulaiman),” he said.
Meanwhile, regarding the potential impact of the policy on cooking oil producers’ exports, Rizal said that matter falls under the Ministry of Trade.
“That’s right, that might be the core business of our friends at the Ministry of Trade. We’re just proposing to the Ministry of Trade, and hopefully this can be followed up soon,” he concluded.