Amidst the El Niño phenomenon, rice prices hit a record high in September 2023.

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Adi Ahdiat 02/10/2023 10:40 WIB

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According to the Ministry of Trade's data, the average price of rice in Indonesia rose to a new record high in September 2023, coinciding with the emergence of the El Niño phenomenon.

Average Monthly Rice Prices in Indonesia (September 2018-September 2023)

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Amidst the El Niño phenomenon, rice prices hit a record high in September 2023.

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Average Monthly Rice Prices in Indonesia (September 2018-September 2023)

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According to the Meteorology, Climatology, and Geophysics Agency (BMKG), Indonesia has experienced El Niño since mid-2023. El Niño is a phenomenon characterized by increased sea surface temperatures, leading to reduced rainfall and drought in several regions.

"The impact of El Niño in Indonesia is generally strongly felt during the dry season, namely in July, August, September, and October. Therefore, we need to increase vigilance during these months," stated BMKG in its report, *Potential Areas Affected by El Niño*, on its official website (September 2023).

"Based on BMKG's prediction, several regions will experience low monthly rainfall, mainly in August, September, and October, including central and southern Sumatra, Java Island, Bali and Nusa Tenggara, southern Kalimantan, most of Sulawesi, parts of North Maluku, parts of Maluku, and southern Papua," it continued.

Meanwhile, according to a study by the International Monetary Fund (IMF), drought caused by El Niño can trigger a decline in agricultural production, followed by an increase in food commodity prices.

"Such extreme weather conditions (El Niño) can restrict the supply of rain-fed agricultural commodities, driving up prices and general inflation, and can trigger social unrest in countries that depend on imported food commodities," said the IMF in its report, *Fair Weather or Foul? The Macroeconomic Effects of El Niño* (April 2015).

This also seems to be happening in Indonesia. One symptom is the increasingly expensive domestic rice prices amid the El Niño phenomenon.

Based on data from the Ministry of Trade, in September 2023, the national average price of premium rice reached Rp14,711 per kilogram (kg).

This price increased by 4.3% compared to the previous month (month-on-month/mom), increased by 16.8% compared to a year ago (year-on-year/yoy), and became the most expensive record in the last five years.

A similar situation occurred with medium-quality rice, with a national average price of Rp12,963 per kg in September 2023.

The average price of medium rice increased by 6.2% monthly (mom), increased by 22.3% annually (yoy), and reached its highest level since 2018, as seen in the graph above.

The Ministry of Trade noted that several provinces have rice prices higher than the national average.

Here is a list of the 10 provinces with the highest average premium rice prices in September 2023:

1. South Kalimantan: Rp18,682 per kg
2. West Sumatra: Rp16,700
3. Central Kalimantan: Rp16,302
4. Papua: Rp16,225
5. Maluku: Rp15,985
6. West Kalimantan: Rp15,972
7. North Maluku: Rp15,850
8. Riau: Rp15,817
9. West Papua: Rp15,512
10. North Kalimantan: Rp15,442

Here is a list of the 10 provinces with the highest average medium rice prices in September 2023:

1. South Kalimantan: Rp16,250
2. West Papua: Rp15,310
3. West Sumatra: Rp14,700
4. Papua: Rp14,610
5. North Kalimantan: Rp14,200
6. Maluku: Rp13,892
7. Riau: Rp13,727
8. Central Kalimantan: Rp13,670
9. Gorontalo: Rp13,602
10. Jakarta: Rp13,160

Editor : Adi Ahdiat

"Disclosure: This is an AI-generated translation of the original article. We strive for accuracy, but please note that automated translations may contain errors or slight inconsistencies."

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Amidst the El Niño phenomenon, rice prices hit a record high in September 2023.

Amidst the El Niño phenomenon, rice prices hit a record high in September 2023.

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