Trade Minister Budi Santoso stated that the revised Trade Ministerial Regulation (Permendag) regarding the distribution of people's cooking oil or Minyakita has been harmonized and is scheduled to take effect in early 2026.
Budi said that regulations regarding the new Minyakita governance will be ratified next week and will be effective 30 days after ratification to allow for system adjustments.
"Next week, for example, we'll see harmonization. Once we've done that, we'll receive a letter and sign it. Because it requires a system, it will take 30 days," Budi said when met at the Ministry of Trade (Kemendag) office in Jakarta on Friday.
One of the revisions to the Minister of Trade's Regulation is that Minyakita producers are required to distribute at least 35 percent of their production through state-owned food companies such as Bulog and ID FOOD.
This obligation was established so that the government could tighten distribution supervision, ensure prices are in accordance with the highest retail price (HET), and guarantee the availability of Minyakita in all regions, including eastern Indonesia which has been facing higher selling prices.
"This will make it easier for us to control distribution. With state-owned food companies, we'll make it easier, so prices will be in line with the highest retail price (HET) and the goods will be available everywhere," he said.
However, Budi emphasized that the revised trade regulation does not yet regulate changes to the price of petroleum.
The upcoming Minister of Trade Regulation is an improvement on Minister of Trade Regulation Number 18 of 2024 concerning Packaged Palm Cooking Oil and Governance of People's Cooking Oil.
In the amendment to Permendag 18/2024, there are five main points emphasized, namely the government will encourage some of Minyakita's distribution through state-owned food distributors such as Bulog and ID FOOD.
Second, Minyakita's distribution focus is on filling people's markets. This step aims to increase access to quality, affordable food for the community.
Third, optimize or support several government programs such as the low-cost market movement, food aid, and distribution and replenishment of supplies at the Red and White Village Cooperative.
Fourth, providing more targeted domestic market obligation (DMO) incentives.
The current incentives are considered ineffective in increasing the even distribution of Minyakita throughout all corners of Indonesia.
Incentives will be directed at increasing the distribution of Minyakita to the people's market through state-owned enterprises.
Finally, strengthening supervision and imposing sanctions.
Supervisory support and sanctions will be increased to prevent any misappropriation that results in disruptions to supply availability and prices.
