Merah Putih Village Cooperatives: From Formation to Operations
Jakarta (ANTARA) — Since its launch by President Prabowo Subianto in July 2025, the Merah Putih Village/Urban-Ward Cooperative (KDKMP) programme has continued to expand.
By mid-October 2026, the Village Cooperative Management Information System (Simkopdes) recorded 83,363 KDKMPs as having officially obtained legal-entity status.
However, the large number of legally established cooperatives needs to be distinguished from their physical readiness and business activity.
The government has continued to drive extensive construction through PT Agrinas Pangan Nusantara, allocating around Rp3 billion per cooperative. By 20 October 2026, 28,662 KDKMP buildings had been completed.
Nevertheless, having premises does not guarantee that a cooperative can begin operating immediately. Each KDKMP still needs to complete supporting facilities and submit purchase orders to state-owned enterprises (SOEs) to stock its business commodities. Of the completed buildings, the government says only 10,070 KDKMPs have met the requirements and are ready for full operations.
Interestingly, while new facilities are still being built, some cooperatives have already set economic activity in motion.
The Ministry of Cooperatives says 2,757 KDKMPs have been conducting transactions since 2025 — even before receiving physical premises from Agrinas.
As at 20 October 2026, the total volume of KDKMP transactions recorded in Simkopdes had reached 98,130, with a combined value of Rp348.95 billion.
The leading commodities in these transactions included regular rice worth Rp96.55 billion, five-kilogram packages of SPHP rice worth Rp93.03 billion, one-litre MinyaKita cooking oil worth Rp30.86 billion, and Phonska NPK fertiliser worth Rp25.62 billion.
The KDKMP programme’s development and acceleration, from establishing the institutions to providing business facilities, have been underpinned by a strong legal framework.
In 2025, the government issued Presidential Decree No. 9 of 2025 and Presidential Instruction No. 9 of 2025 on accelerating the establishment of KDKMPs.
This was reinforced by Presidential Instruction No. 17 of 2025, which tasked PT Agrinas Pangan Nusantara with accelerating the construction of outlets, warehouses and all associated facilities.
In 2026, KDKMP governance was further defined through Presidential Regulation No. 82 of 2026. The regulation covers not only day-to-day operations but also assigns Agrinas to manage and support KDKMP operations during a two-year transition towards full independence.