Egg Prices Rise After Free Nutritious Meal Programme Resumes, Trade Minister: It's Good
Trade Minister Budi Santoso has responded to the rise in several staple food prices following the resumption of the Free Nutritious Meal (MBG) programme. He stated that this condition is part of creating a balance between the interests of producers and consumers. Budi cited the example of chicken egg prices, which are now approaching the Highest Retail Price (HET). According to him, this condition actually indicates that prices are at an ideal point. “What was the price of eggs yesterday, Rp 26,000, even though the HET is Rp 30,000, right?” Budi said when met after attending an event in Jetis, Yogyakarta City, on Thursday (23/7/2026). Budi stated that the HET represents the equilibrium point between producers and consumers. If prices are too low, producers risk incurring losses and potentially halting production. This condition could eventually trigger a scarcity of goods and price increases. “But when it meets or now the price is approaching the HET, it is now Rp 28,000, almost Rp 28,000. So it is already good,” he said. “That is where the meeting between producers and consumers occurs. Producers meet their costs and can produce according to their production expenses. We also prioritise both sides,” he continued. Furthermore, Budi assessed that the MBG programme has helped increase the absorption of food commodities, including eggs. He believes this helps maintain the balance between supply and demand in the market. “Indeed, absorption is better now because one of the factors is that the MBG is running again. So actually, the MBG can be a balancer between supply and demand,” he said. He explained that before the MBG was running, food commodity prices tended to fluctuate due to a lack of demand certainty. When production was high, producers risked oversupply. Conversely, when production declined, demand could surge and drive up prices. “Now, with the MBG, it is actually stable. So demand continues to exist, and production becomes consistent with the existing demand,” he said. Budi added that egg production is currently still experiencing a surplus of around 12 percent, which is considered sufficient to meet the needs of the MBG programme. “So now, eggs alone have a 12 percent surplus. This means that for the MBG needs, everything is running well. Production continues to increase, and the entire economic ecosystem is involved, both producers and other sectors, not only livestock but also agriculture and so on. So it is good,” he concluded.