Extreme El Nino Prompts Government to Strengthen Rice SPHP Programme

The government is strengthening the implementation of the Stabilisation of Food Supply and Prices (SPHP) programme for rice as a measure to anticipate the impact of an extreme El Nino, which could disrupt food supplies and trigger price volatility. Intervention through the distribution of rice from the Government Food Reserves (CPP) is considered crucial for maintaining supply and price stability amidst the threat of a dry season.

Maino Dwi Hartono, Director of Food Supply and Price Stabilisation at the National Food Agency (Bapanas), stated that the SPHP rice programme is running according to target. With government rice stocks exceeding 5 million tonnes, the government has ample flexibility to implement various stabilisation measures.

The 2026 SPHP programme targets the distribution of approximately 828,000 tonnes of rice to the public. As of the second week of July 2026, realised distribution had reached 678,870 tonnes, or about 82 percent of the annual target. This figure represents a 274 percent increase compared to the same period last year, which saw 181,170 tonnes distributed.

Maino noted that SPHP distribution is being carried out more massively through various channels, not only in markets but also via the Gerakan Pangan Murah (Cheap Food Movement) to ensure government rice reaches the public directly. The government is also redistributing food aid in the form of rice to 33.2 million beneficiary families from July to September 2026. This assistance is expected to maintain public purchasing power while helping to curb rice prices at the consumer level.

This government intervention has supported food inflation stability. According to data from the Central Statistics Agency (BPS), annual food inflation decreased from 6.24 percent in May 2026 to 5.58 percent in June 2026. Calendar-year food inflation up to June 2026 also fell to 1.61 percent, lower than the 2.15 percent recorded in the same period the previous year.

Head of Bapanas Andi Amran Sulaiman stated that the government must strengthen national food security as the world faces the threat of an extreme El Nino, which could disrupt global rice supplies. He warned that if producer countries restrict exports to meet domestic needs, the impact could extend to economic and social stability.