Starting September 1st, the Government Implements a New Maximum Retail Price for Rice

The Indonesian government will implement new Highest Retail Prices (HRP) for eight major regions starting September 1, 2017. Trade Minister Enggartiasto Lukito stated that rice is categorized into three types: premium, medium, and special.

The price of medium-grain rice in Java and Lampung will be Rp 9,450 per kilogram (kg), and premium rice will be Rp 12,800 per kg in both traditional and modern markets. Meanwhile, medium-grain rice in Kalimantan will cost Rp 9,950 per kg and premium rice Rp 13,300 per kg. In Maluku and Papua, medium-grain rice will be Rp 10,250 per kg and premium rice Rp 13,600 per kg. The price for special rice has not yet been determined as its characteristics are still under review by the Ministry of Agriculture.

This pricing is calculated based on producing regions and transportation costs to consumer areas. This decision will be regulated in a Ministerial Regulation of Trade, which will soon be enacted by the Ministry of Law and Human Rights.