Indonesian Political, Business & Finance News

Minister Encourages Village Cooperatives to Partner with Modern Retailers to Strengthen MSMEs

| | Source: REPUBLIKA Translated from Indonesian | Social Policy
Minister Encourages Village Cooperatives to Partner with Modern Retailers to Strengthen MSMEs
Image: REPUBLIKA

REPUBLIKA.CO.ID, JAKARTA – The Minister of Cooperatives, Ferry Juliantono, is encouraging Desa/Kelurahan Cooperatives (Kopdes) Merah Putih to establish partnerships with modern retailers such as Indomaret and Alfamart. This initiative aims to strengthen the role of micro, small, and medium enterprises (MSMEs) while also maintaining a balance in meeting consumer needs at the village level.

When met in Jakarta on Tuesday, Ferry affirmed that the issue of limiting the expansion of modern retailers essentially depends on the regulatory arrangements in each region. He emphasised that the presence of modern retailers should not be viewed as a threat, but rather can be a strategic partner for Kopdes Merah Putih.

“In reality, the issue of limitations is simply a matter of regulatory arrangements in each region,” said Ferry.

“I have also communicated with colleagues from Indomaret, Mr. Franky Welirang, and with colleagues from Alfamart, that village cooperatives can still cooperate with anyone,” he added.

According to him, the presence of modern retailers is still necessary because not all products can be produced by local MSMEs. Therefore, he believes that cooperation with the private sector is needed to meet the diverse needs of the community.

“There are products that can be produced by local MSMEs, but there are also those that cannot. Of course, we can cooperate with the private sector for the goods they produce,” he said.

He emphasised that the pattern of cooperation between village cooperatives, MSMEs, and modern retailers should be directed towards mutual strengthening. In this way, village cooperatives will continue to have room to grow, while modern retailers can play a role as a distribution partner for local products.

Import of Pickup Trucks for Kopdes: Domestic Industry Ready to Meet Needs

On the other hand, the plan to procure operational vehicles for Kopdes Merah Putih has also come under scrutiny. The plan to import 105,000 pickup trucks from India to support the village cooperative program has drawn responses from various parties, including the automotive industry association and the DPR RI.

Previously, PT Agrinas Pangan Nusantara confirmed the plan to import vehicles from India. In an announcement on their official website on February 4, 2026, the Indian automotive company Mahindra and Mahindra Ltd. (M&M) stated that it would supply 35,000 Scorpio pickup trucks. Then, on February 20, 2026, the President Director of Agrinas Pangan Nusantara, Joao Angelo De Sousa Mota, confirmed that the total import would reach 105,000 vehicles, consisting of 35,000 4x4 pickup trucks from M&M, as well as 35,000 4x4 pickup trucks and 35,000 six-wheeled trucks from Tata Motors.

In response to the plan, the Indonesian Association of Automotive Engineering Experts (IATO) stated that the use of domestically produced pickup trucks for the Kopdes Merah Putih program would have a direct impact on strengthening the real sector economy.

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