Indonesian Political, Business & Finance News

Central Java Government Holds Cheap Food Campaign to Curb Inflation

| Source: CNN_ID Translated from Indonesian | Agriculture
Central Java Government Holds Cheap Food Campaign to Curb Inflation
Image: CNN_ID

The Central Java Provincial Government, working with the local office of Bank Indonesia (BI), has launched a Cheap Food Campaign and distributed various forms of assistance to stabilise food prices and curb inflation.

The initiative was held at the Central Java Agriculture and Livestock Office on Monday (12 October), targeting small-shop traders, caterers, farmers and residents in Semarang Regency and Semarang City.

Central Java Governor Ahmad Luthfi said the collaboration with BI, the State Logistics Agency (Bulog), farmers and other parties aimed to stabilise prices, control inflation and ensure basic goods remained affordable.

The intervention was prompted in part by rising prices of several key staples, including red chillies and rice. Red chillies currently cost between Rp80,000 and Rp90,000.

“This collaborative approach is being used as a role model to ensure inflation remains under control in Central Java. This applies not only in Semarang but also in other areas, so that inflation is kept in check,” Luthfi said on Monday (12 October).

The initiative is also intended to anticipate the effects of drought. To support food production in Central Java, assistance ranging from rice and water-piping equipment to owl houses was distributed to farmer groups.

From January to October 2026, rice production in Central Java is forecast to reach 8.4 million tonnes of dry milled paddy, equivalent to 4.9 million tonnes of rice. Chilli production was recorded at about 404,910 tonnes, while shallot production reached 408,760 tonnes.

“Farmers’ planting patterns are also being adjusted in line with programmes from the Agriculture and Livestock Office. Because of El Niño, we need to come up with creative ideas to control the supply of key staples in our region, from upstream to downstream,” Luthfi said.

Joko, a fried-rice seller, said he had benefited from the initiative and the Cheap Food Campaign.

He said rising prices for several staples had significantly affected his sales, and that he had struggled with the high cost of chillies over the past two weeks.

“I’ve just bought 3kg of chillies. The last time I bought them at the market, they cost Rp65,000; here I got them for Rp45,000. I usually need 5kg a week to make sambal. This is a great help,” he said.

Caterer Dari said she had a similar experience. At the Cheap Food Campaign, she was able to buy rice from Rp11,000.

“Rising prices of staples have a major impact on our catering business. We can’t raise our prices because customers might leave. So this programme is a great help. The prices that affect us most are those of chicken and rice,” Dari said.

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