Scheme Proposed for Free Nutritious Meals Programme to Boost Farmers' Economy

The Chairman of Gerbang Tani PKB, Idham Arsyad, is urging the government to develop a contract farming scheme between the Free Nutritious Meals (MBG) programme’s service units (SPPG) and local farmer groups, livestock breeders, fish farmers, cooperatives, and other agricultural economic institutions. He stated that the MBG programme is a major investment by President Prabowo to improve the quality of Indonesia’s human resources. By linking the SPPG’s food needs with local farmers’ production, the benefits of MBG can be expanded while simultaneously serving as an instrument for community economic empowerment and strengthening national food self-sufficiency. “Children receive nutritious meals, farmers gain market certainty, villages experience economic turnover, and the nation strengthens its food independence. One strategic programme can yield multiple benefits at once,” Idham said in Jakarta on Monday, 27 July 2026. He noted that the large and continuous demand for rice, eggs, chicken, fish, vegetables, fruit, and other foodstuffs by the SPPG essentially creates a significant new market for farmers and local food producers. A fundamental problem often faced by farmers is not just increasing production, but also securing a guaranteed buyer for their harvest. “This is where the great opportunity lies. The MBG programme’s food needs can be matched with farmers’ need for market certainty. The state does not need to create a new market because it already exists through the SPPG. What we need to build is a bridge connecting the SPPG’s needs with the farmers’ production capacity,” he explained. Through contract farming, farmer and livestock groups would obtain certainty regarding commodity types, volume, quality standards, delivery schedules, and pricing mechanisms. Conversely, the SPPG would receive a supply of fresher, measurable, and sustainable produce from the nearest production centres. This model can also shorten supply chains, increase logistical efficiency, and ensure that the MBG programme’s food spending circulates more at the local level. Gerbang Tani also views contract farming as an entry point to strengthen farmers’ access to financing. Certainty of contracts and buyers makes production financing more measurable and can be integrated with various government or financial institution financing facilities, including the People’s Business Credit (KUR) programme and other empowerment financing instruments.