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Rising food prices in some parts of Indonesia blamed on free meals programme

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The massive increase in demand for staple foods to produce meals under Indonesian President Prabowo Subianto's flagship free nutritious meals programme has strained local food supplies.

Celios has warned that the free meal programme could potentially trigger food inflation and negatively impact small and medium enterprises.

PHOTO: REUTERS

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Indonesian President Prabowo Subianto’s flagship free nutritious meals (MBG) programme has been linked to rising prices of staple foods in several regions as the massive increase in demand has strained local food supplies and distribution chains.

In Gunungkidul regency, Yogyakarta, egg prices have jumped by roughly 11 per cent since the beginning of October, from 27,000 rupiah (S$2.10) to 30,000 rupiah per kilogram.

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