Government to Intervene with Safety Net for Live Broiler Chicken Prices
The National Food Agency (Bapanas) has confirmed it will intervene with a safety net price for live broiler chickens to maintain price stability at the farm level and protect the sustainability of the national poultry business.
Deputy for Food Availability and Stabilisation at Bapanas, I Gusti Ketut Astawa, said the government would intervene when the price of live chickens drops or rises too sharply to keep it at a level that is profitable for producers and affordable for the public.
“As soon as the price drops, we must raise it again. As soon as the price rises, we lower it again. Why? Because we are a producer nation. We want self-sufficiency. Of course, prices at the producer level must not be too low,” Ketut said when confirmed in Jakarta on Wednesday.
The government continues to follow up on the aspirations of poultry farmers regarding the price of live broiler chickens, which is still declining and has yet to move close to the Purchase Reference Price (HAP) at the farm level.
According to Ketut, as a broiler chicken meat producing country, maintaining a reasonable price level for farmers is crucial. The national average price of live broiler chickens at the farm level up to 8 June, according to Bapanas monitoring, stood at Rp22,382 per kilogramme.
This price level remains 10.47 percent below the HAP of Rp25,000 per kg. Compared to the previous month, it has also further declined by 2.39 percent, as the price level at that time was Rp22,930 per kg.
Therefore, Ketut continued, the government will collaborate to stabilise chicken prices again. “It happens that broiler chicken meat at the producer level is also experiencing a decline. Of course, we will also carry out interventions together with the Directorate General of Plantations and Animal Health at the Ministry of Agriculture,” Ketut explained.
The government is also collaborating with poultry farmer associations, for example the Indonesian People’s Poultry Association (Pinsar). “To find a solution so that, once again, the low price at the producer level can be handled properly,” Ketut added.
He stated that a collaborative deliberation to find a joint solution is being pursued by Bapanas so that price stability occurs in the national poultry ecosystem, from upstream to downstream. He mentioned that one solution being reviewed by the government to address the domestic chicken meat price issue is absorption through government programmes, such as food assistance.
This was previously implemented in 2023 and 2024, carried out by ID FOOD. At that time, Bapanas tasked ID FOOD, via the Ministry of State-Owned Enterprises, with distributing stunting alleviation food assistance to 1.4 million families in the form of 1 kg of chicken meat and 10 chicken eggs. The assistance allocation was provided for a period of three months.
In 2024, a total of 8.6 million food packages were successfully distributed to seven target areas, including North Sumatra, Banten, West Java, Central Java, East Java, West Sulawesi, and East Nusa Tenggara. With this, ID FOOD managed to distribute more than 15 million stunting food assistance packages over two consecutive years.
In implementing the food assistance, ID FOOD collaborated with many independent smallholder farmers, micro, and small and medium enterprises (MSMEs). In 2024, ID FOOD partnered with a total of up to 8,778 farmers, consisting of 6,895 layer chicken farmers and 1,883 broiler chicken farmers.
The price decline in the poultry sector was also reported by Statistics Indonesia (BPS). Deputy for Methodology and Information at BPS, Pudji Ismartini, revealed the occurrence of deflation for broiler chicken meat in May. She stressed that repeated deflation conditions should not be ignored.
Broiler chicken meat was reported to have experienced deflation of 3.83 percent in May 2026. This condition continues the downward price trend that also occurred in the previous month. Repeated deflation on the broiler chicken meat commodity is a signal that warrants attention because it can reflect ongoing price pressure at both the producer and market levels.
“Broiler chicken meat has also seen an increase in the number of districts and cities experiencing price rises for broiler chicken meat in the first week of June 2026, now totalling 85 districts and cities,” she said. “Some districts and cities, although experiencing an increase or change in the Price Development Index (IPH), are still below their HAP,” Pudji added.
Deflation in broiler chicken meat was recorded by BPS starting after March. Broiler chicken meat still experienced monthly inflation of 3.30 percent in March but then turned into deflation of 6.20 percent in April. Meanwhile, deflation in broiler chicken meat occurred again in May, although there was a positive movement to 3.83 percent deflation.