MBG Kitchens on Alert! BGN to Demand Reimbursement if Subsidised Goods are Used

Jakarta, CNBC Indonesia - The National Nutrition Agency (BGN) is prepared to request that managers of the Free Nutritious Meal (MBG) programme kitchens return the price difference of subsidised food ingredients used in their operations. This policy follows findings that some Nutrition Fulfilment Service Unit (SPPG) kitchens are suspected of using Minyakita, despite the MBG programme being prohibited from using subsidised goods.

BGN Head, Sudaryono, stated that the use of subsidised food ingredients has been prohibited through regulations and circular letters sent to all MBG kitchen managers. “Regarding subsidised ingredients, we have sent circular letters, and it is clear in the regulations. In the past, this has also been communicated,” Sudaryono said during a press conference at the BGN Office, Jakarta, on Friday (31/7/2026).

Nevertheless, the BGN has still found indications of kitchens using Minyakita in their operations. Consequently, the agency is currently conducting an investigation to calculate the magnitude of the price difference gained through the use of subsidised goods.

According to Sudaryono, if the results of the inspection prove there has been a violation, the price difference may be required to be returned to the state treasury. “Therefore, there is a possibility that we are looking to investigate kitchens using subsidised ingredients, and the difference should be returned to the state treasury,” he said.

He provided an example where, if a kitchen should have purchased commercial cooking oil but instead used Minyakita—which is cheaper due to government subsidies—the price difference would be calculated based on the amount used. “For instance, if they were supposed to buy regular cooking oil but bought Minyakita, there is a price difference. That difference, multiplied by the amount used, may potentially be required for return to the state treasury following our investigation,” he explained.

Sudaryono emphasised that the data collection process is still ongoing, so the BGN cannot yet confirm how many kitchens are involved or the potential value of the funds to be returned. “Not yet, there is none. We are still investigating,” he noted.

He assured that the alleged violations are only being committed by a small number of partners or kitchen managers. Therefore, the BGN does not want the majority of partners who have implemented the programme according to the regulations to be negatively impacted by the actions of a few. “Those violating are far fewer than those doing well. The SPPGs that violate are far fewer than the good SPPGs,” he said.

He added that strict enforcement is necessary to maintain the credibility of the MBG programme and to protect partners who have worked according to the rules. “Why must we be firm? Because by being firm in addressing those who are wrong or violating… we do not actually care about those violating, we care about those who have worked well,” Sudaryono said.

“We must not allow the majority, who are working well, providing good service, distribution, kitchens, and menus that are well-received by beneficiaries, to be undermined because of one or two individuals who commit violations or errors,” he concluded.