Indonesia's Village Cooperatives Must Meet New Standards to Supply MBG Program

Economist Yusuf Rendy Manilet of CORE Indonesia said that village cooperatives (Kopdes Merah Putih) must satisfy several conditions before becoming primary suppliers for the Program Makan Bergizi Gratis (MBG). The prerequisites include a proven business track record, functional aggregation, storage and distribution capacity, compliance with food‑safety and quality standards, strengthened governance and human‑resource capability, and sufficient working‑capital to purchase farm produce and cover payment delays from the Satuan Pelayanan Pemenuhan Gizi (SPPG).

The requirements are grounded in Presidential Regulation No. 115/2025, which prioritises locally sourced food and coop participation in the supply chain to shorten distribution, improve farmers' bargaining power, and boost local economic impact. At the same time, DPR Commission VII member Yoyok Riyo Sudibyo warned that the cooperatives must not turn into retail chains selling only manufactured products, likening such a model to Indomaret. He urged that Kopdes focus on staple goods and provide market access for UMKM products, ensuring the cooperatives truly empower small‑scale producers rather than merely extending distribution of big‑brand items.