Indonesian Political, Business & Finance News

Zulhas Clarifies Village Cooperatives Are Not Supermarkets

| Source: ANTARA_ID Translated from Indonesian | Economy
Zulhas Clarifies Village Cooperatives Are Not Supermarkets
Image: ANTARA_ID

Not a supermarket

Jakarta (ANTARA) — Coordinating Minister for Food Zulkifli Hasan has affirmed that the Red and White Village/Neighbourhood Cooperatives (Kopdes) are different from modern retail stores or supermarkets.

“Not a supermarket,” Zulkifli said when met ahead of a limited meeting with President Prabowo Subianto at the Presidential Palace complex in Jakarta on Wednesday.

Zulkifli explained that many members of the public have misunderstood the existence of the Village Cooperatives. According to him, many assume that the Village Cooperatives will replace modern retail stores.

He explained that the Village Cooperatives function as off-takers, acting as absorbers of produce from farmers, ranchers and fishermen.

According to him, this is essential so that farmers, ranchers and fishermen can obtain fair prices and are not paid below the standard.

“If the price of unhusked rice falls below the standard we have set, the cooperative can take over and buy the rice, corn and so on,” Zulkifli explained.

From an infrastructure perspective, Zulkifli said, the Village Cooperatives serve as vehicles for distributing various forms of assistance, such as social aid (bansos), subsidised goods and others.

“Aid, social assistance and subsidised goods must all go through Kopdes. That way it is clear, because every village has one,” said Zulkifli.

Based on data from the Red and White Village/Neighbourhood Cooperative Formation Acceleration Management Information System (Simpkopdes) as of 14 July 2026, 83,382 cooperatives have been established, though not all of them have physical buildings.

Of that number, there have been 38,054 land proposals for physical cooperative construction, of which 35,867 have been verified, 19,296 cooperatives are still under construction, and 16,091 cooperatives have completed construction by 100 per cent.

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