Zulhas: 'Merah Putih' Village Cooperatives Are Not Supermarkets

Coordinating Minister for Food Zulkifli Hasan has stated that the primary function of the ‘Merah Putih’ Village Cooperatives is to serve as a distributor of subsidised goods and farmers’ produce. “So do not imagine the village cooperative as a supermarket or a general store, it is not,” he said at Graha Mandiri, Jakarta, on Monday, 20 July 2026.

The man commonly known as Zulhas said the village cooperatives are government infrastructure designed to channel government aid and subsidised products. With these characteristics, Zulhas stated that the village cooperatives will gradually act as an offtaker of agricultural products, for example, purchasing farmers’ unhusked rice at Rp 6,500 per kilogramme.

The National Mandate Party politician said the government is currently finalising a presidential regulation regarding the operationalisation of the ‘Merah Putih’ Village Cooperatives. He said this regulation will serve as the operational foundation for the cooperatives, including the distribution of government aid, subsidised products, and the execution of market operations. “This is being done in stages because it cannot be done all at once,” he said.

Zulhas stated that the government is targeting the completion of 35,872 village cooperative outlets by August this year. The government will continue the development next year.

According to the Village Cooperative Management Information System website managed by the Ministry of Cooperatives, a total of 16,944 cooperative outlets had been completed as of Tuesday, 20 July 2026. Meanwhile, a total of 38,053 plots of land have been proposed for cooperative construction. Of this total, 2,190 plots have not yet been verified, while 35,863 other locations have been verified. Of the total verified land, as of Tuesday, 20 July 2026, 18,447 locations were recorded as being under construction, while 472 sites had not yet started.