Indonesia seeks balanced chicken prices as retail market holds near reference level
Indonesia’s trade minister said chicken prices must remain close to the official reference level to protect both farmers and consumers. Chicken meat sold for Rp40,000-Rp42,000 per kilogram at Sukoharjo’s Ir. Soekarno Market, compared with a reference price of Rp40,000.
Chicken prices stay close to reference level
Indonesia’s Trade Minister Budi Santoso has called for chicken meat prices to remain balanced between the needs of poultry farmers and the purchasing power of consumers. During an inspection of prices and staple-food availability at Ir. Soekarno Market in Sukoharjo, chicken meat was selling for Rp40,000-Rp42,000 per kilogram.
The range was close to the government’s reference price of Rp40,000 per kilogram. Budi described the market as relatively stable because retail prices remained around that benchmark, Koran Jakarta reported. Chicken trader Sri Rahayu confirmed the Rp40,000-Rp42,000 range, compared with Rp32,000-Rp44,000 in the previous week, depending on the seller and type of chicken.
Budi said the reference price serves as a balance between producers and consumers. Prices that remain too low can push farmers into losses and eventually reduce production. Excessively high prices, meanwhile, put pressure on household purchasing power.
Supply continuity depends on producer margins
The ministry wants consumer prices to meet or approach the established reference level so producers can continue operating without losses while households retain access to affordable protein. This policy position links short-term retail affordability with the longer-term availability of poultry supplies.
Persistently depressed chicken prices could cause farmers to cut output, according to the minister. A resulting decline in supply could later raise consumer prices, making the reference level important not only as a retail target but also as a signal for production decisions across the poultry chain.
The Sukoharjo inspection also covered other essential foods. Garlic was priced at Rp38,000 per kilogram, exactly matching its reference price. Bird’s eye chilli sold for Rp45,000 per kilogram, below the Rp57,000 reference level. Supplies of rice and cooking oil were described as sufficient.
Ministry maintains daily market surveillance
Medium-grade rice was available for Rp13,000 per kilogram and premium rice for Rp15,000. Granulated sugar sold for Rp17,000 per kilogram. Bulk cooking oil was priced at Rp18,000 per litre, the Minyakita brand at Rp15,700 and premium cooking oil at Rp22,000. Wheat flour was listed at Rp12,000 per kilogram.
Other observed prices included beef at Rp140,000 per kilogram, curly red chilli at Rp35,000 and large red chilli at Rp40,000. Shallots were priced at Rp28,000 per kilogram. The figures provide a broader view of food costs facing consumers alongside the government’s specific attention to poultry.
The Trade Ministry tracks staple-food prices every day through its Basic Necessities Market Monitoring System, known as SP2KP. It has 514 monitoring officers deployed across Indonesia’s traditional markets. Budi said the ministry would intervene and coordinate with regional governments when prices rise above reference levels or supplies become inadequate. The approach gives authorities a nationwide mechanism to identify local shortages, while the Sukoharjo data indicate that chicken prices currently remain near the level intended to support both production and consumption.
