Indonesian Political, Business & Finance News

Trade Minister Claims Free Nutritious Meals Programme Boosts Staple Food Prices Including Eggs

| | Source: REPUBLIKA Translated from Indonesian | Economy
Trade Minister Claims Free Nutritious Meals Programme Boosts Staple Food Prices Including Eggs
Image: REPUBLIKA

Trade Minister Budi Santoso has claimed that the Free Nutritious Meals (MBG) programme, which has resumed operations, is contributing to an improvement in staple food prices, including chicken eggs. The programme is considered to have increased egg absorption while providing demand certainty for farmers. Budi stated that egg prices, which had previously been around IDR 26,000 per kilogram, are now moving upwards, approaching the Highest Retail Price (HET) set by the government at IDR 30,000 per kilogram. Currently, egg prices are reportedly around IDR 28,000 per kilogram. “I give an example of egg prices. What was the price of eggs yesterday? IDR 26,000. IDR 26,000, yet what is the HET? IDR 30,000, right? IDR 30,000 is the Highest Retail Price,” Budi told reporters in Yogyakarta on Thursday (23/7/2026). According to him, the price movement approaching the HET indicates a balance between the interests of producers and consumers. Excessively low prices, he said, risk causing farmers to suffer losses and cease production, which could ultimately trigger scarcity and price hikes. “The producers would lose money, could shut down, and stop production. If there is no production, there are no eggs, and prices will actually rise,” he said. Budi noted that increased egg absorption for the MBG programme is one of the factors driving the price improvement. The programme creates more certain demand, allowing production to be adjusted to market needs. “Now absorption is better because one of the factors is that the MBG is running again. So actually, the MBG can act as a balancer between demand and supply,” he said.

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