World · East Asia & Pacific · 5 hrs ago
Indonesia’s agriculture minister predicts rice prices will fall after arrests
Indonesia’s agriculture minister says rice prices should fall after authorities arrested people suspected of repackaging subsidised rice.
The case was uncovered at the Cipinang rice market in East Jakarta.
Subsidised SPHP rice is meant to be sold at an affordable price, but Amran said it was allegedly repackaged and sold as premium rice for about 17,000 rupiah per kilogram, instead of roughly 12,500 rupiah.
The government subsidises SPHP rice to help people buy food at lower prices.
Amran says the suspected practice may involve networks in other areas, not just one market.
He says misuse of the subsidy can hurt both farmers and consumers.
He has called for a wider investigation, including checks for possible involvement by officials at the Agriculture Ministry or state logistics agency Bulog; he gave no estimate of when or by how much prices might fall.
Agriculture Minister Andi Amran Sulaiman said rice prices would fall after authorities arrested people suspected of repackaging subsidized rice for sale as premium rice.
He said rice intended to sell for about Rp12,500 per kilogram was allegedly repackaged and sold for Rp17,000 per kilogram.
Amran made the remarks during an inspection at Cipinang Rice Main Market in East Jakarta on October 28, 2026.
He said the suspected practice could involve a wider network and urged authorities to investigate across Indonesia.
Amran did not specify how much prices would fall or when the decrease would happen.
- Who
- Agriculture Minister Andi Amran Sulaiman said prices would fall after the arrests.
- What
- Authorities arrested people suspected of repackaging subsidized SPHP rice as premium rice and selling it at a higher price.
- When
- October 28, 2026.
- Where
- Cipinang Rice Main Market, East Jakarta.
- Why
- Amran said the arrests could curb the alleged misuse of subsidized rice and help control prices.
This story does not have two clearly opposing sides.
Food Coordinating Minister Zulkifli Hasan said rice prices had risen slightly, by around Rp100 or a little more in some cases.
Amran inspected Cipinang Rice Main Market and said prices would fall after arrests over suspected rice repackaging.
The government plans to distribute three months of 10-kilogram monthly rice assistance in a single delivery.
- Minister
- Andi Amran Sulaiman
- Inspection site
- Cipinang Rice Main Market, East Jakarta
- SPHP rice intended price
- About Rp12,500 per kilogram
- Alleged premium sale price
- Rp17,000 per kilogram
- Rice assistance recipients
- 33.2 million families
- Planned assistance volume
- About 1 million tons
3 sources
What people are saying
It will definitely fall (the market price of rice). This (SPHP rice) should be priced at Rp12,000 per kilogram, but it is sold for Rp17,000. Won’t the price of rice fall if people are arrested like this? It will automatically fall.
There is indeed a syndicate, a special gang of rice mafia. This must be dismantled throughout Indonesia so consumers and the public can feel at ease.