Jakarta, ThedailyID — The Indonesian government aims to complete the development of 35,872 Kopdes Merah Putih cooperatives by August 2026, Coordinating Minister for Food Affairs Zulkifli Hasan said on July 20.
Kopdes Merah Putih is the government’s village cooperative program designed to strengthen local economies, improve the distribution of subsidized goods, and purchase agricultural products from rural communities.
Speaking at a press conference in Jakarta, Hasan said the nationwide program has entered its final stage. Once construction finishes, the government will deploy personnel so the cooperatives can begin operations.
“We expect to complete 35,872 cooperatives by August this year. After that, we will assign personnel to ensure they operate effectively before expanding the program next year,” Hasan said.
He explained that Kopdes Merah Putih will not initially operate as supermarkets. Instead, the cooperatives will serve as government infrastructure while acting as offtakers that purchase agricultural products and other goods from local communities.
Meanwhile, the government is preparing a presidential regulation to govern the cooperatives’ operations, including the distribution of government assistance and subsidized goods.
Hasan said the government has formed a task force led by Tatang Yuliono, Deputy for Food Trade and Distribution Coordination at the Coordinating Ministry for Food Affairs, to finalize the regulation.
The Ministry of Cooperatives and the Ministry of Villages and Development of Disadvantaged Regions will lead the drafting process. The government expects to complete the regulation within one month.
In addition, authorities will verify and validate the newly established cooperatives before processing payments to PT Agrinas Pangan Nusantara (Persero). The company will then settle its obligations with the Association of State-Owned Banks (Himbara).
Hasan also said the program will roll out in phases. The first 35,872 Kopdes Merah Putih cooperatives will begin operating between August and September 2026, while the government prepares the next phase for 2027.
During the same event, Villages and Development of Disadvantaged Regions Minister Yandri Susanto said his ministry and 10 village government associations continue educating local communities about the program.
Furthermore, Yandri stressed that Kopdes Merah Putih will complement, rather than replace, Village-Owned Enterprises (BUMDes) because each institution serves different business functions.
He also assured the public that the cooperatives would not harm small grocery stores in villages. Instead, they will prioritize distributing subsidized goods while allowing local businesses to continue operating.
