Rice Export Deal Not Yet Sealed, Bulog CEO Reveals Malaysia's Offer Price

Plans for Indonesia’s rice exports to Malaysia are still stuck at the price negotiation stage. As of now, both parties have not reached an agreement due to a considerable price difference.

Bulog’s President Director Ahmad Rizal Ramdhani stated that discussions with Malaysia are currently held up by the price bargaining process. On the quality side, he said Malaysia is already satisfied with Indonesian rice, meaning there are no issues there.

“We negotiated on the price yesterday. The price isn’t suitable yet, because the quality is fine for them, no problems,” Rizal explained when met at the Coordinating Ministry for Food Affairs office in Jakarta on Wednesday (22/4/2026).

According to him, the price proposed by Malaysia is still far below Indonesia’s expectations.

“It’s just the price that we think needs to be raised further. Because the price they’re asking for is too low. Still below Rp10,000 (per kg),” he said.

Yet, domestic rice prices in Indonesia are already above that figure. For SPHP rice, for example, the price reaches Rp12,500 per kg, while the highest retail price (HET) for premium rice is Rp14,500 per kg in zone 1 areas.

“If in our country… the SPHP rice price is Rp12,500 (per kg),” he said.

Meanwhile, the rice planned for export is premium grade, with Bulog offering a price in the range of Rp13,000-Rp14,000 per kg.

“Yeah, around Rp13,000-Rp14,000 (the price offered by Bulog to Malaysia) in that area. Because it’s premium class. The premium has 5% broken grains. Whereas our local premium has 15% broken grains and the price is Rp14,500 (per kg). Their offer is below Rp10,000,” he clarified.

With such a price gap, Rizal emphasised that an agreement is not possible in the near term.

“Yeah, that’s how it is, it’s still not possible. If it’s that price, it’s impossible. Why would we subsidise another country, right? It’s not possible,” he asserted.

Nevertheless, Malaysia’s interest in Indonesian rice is said to be quite substantial, reaching 200,000 tonnes.

“Their interest is 200,000 tonnes,” Rizal revealed.

If based on the price hoped for by Bulog around Rp14,500 per kilogram, the potential transaction value would be enormous. Assuming 200,000 tonnes or equivalent to 200 million kilograms, the total export value could reach around Rp2.9 trillion.

However, the realisation of that figure still depends on one main thing, namely the price agreement which has not yet been reached.

“The price deal isn’t done yet,” he concluded.