Chili Prices in Kupang Three Times Higher Than in Denpasar

The average selling price of chilies in Kupang in July 2016 was the highest in Indonesia, reaching Rp 56,000 per kilogram (kg). This price per kilogram was three times higher than the selling price in Denpasar and Mataram, which were Rp 15,000 and Rp 16,000 respectively. Meanwhile, in Jakarta and Surabaya during the same month, the average selling price of chilies was Rp 23,000 and Rp 33,000.

The Central Statistics Agency (BPS) stated that in July 2016, chili prices were one of the contributing factors to inflation in Indonesia, along with other commodities such as shallots, meat, potatoes, and gold jewelry. Inflation increased due to the influence of the Idul Fitri holiday celebrations.

According to the Ministry of Agriculture, this increase in food prices is common in Indonesia, even though food stocks are actually in surplus except for sugar and beef. In June 2016, chili stocks were estimated at 100,000 tons, exceeding consumption which was only 89,000 tons.