Economist: Accelerating Sumatra's food supply is key to curbing price fluctuations

Economist: Accelerating Sumatra's food supply is key to curbing price fluctuations

  Economists believe that accelerating food distribution and strengthening supply are key to suppressing potential food price spikes following the hydrometeorological disasters in Aceh, North Sumatra, and West Sumatra, which cut off logistical access in a number of areas.

Paramadina University economist Wijayanto Samirin stated that the policy of stabilizing corn feed costs until January 2026 has indeed helped contain livestock production costs.

However, according to him, this policy has not addressed the main problem, namely the imbalance in supply when demand increases due to national-scale food aid.

"Holding down animal feed costs will only affect producer margins, not livestock selling prices," Wijayanto said when contacted.

He emphasized that the supply of animal protein needs to be strengthened so that increased demand from social safety net programs does not depress prices at the consumer level.

In addition to supply, restoring access to food distribution is a crucial factor, especially in disaster-affected areas where connectivity is still hampered.

Economist and Director of the Center of Economic and Law Studies (Celios), Nailul Huda, said that the affected areas also serve as food suppliers for other provinces, so distribution disruptions could have a national domino effect.

"West Sumatra, for example, is a producer of red chilies. If supply is disrupted, prices in other regions, such as Riau, could also rise," he said.

According to him, in emergency situations when private channels are cut off, the distribution of food aid by the central government must be strengthened by utilizing all available logistics infrastructure.


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