[REVISION HISTORY]

Indonesia fuel subsidy and food price updates

Updated 51 times since CLSTR started tracking revisions of this situation.

What changed

2026-10-25 17:15 UTC → 2026-10-26 08:15 UTC · added ~~removed~~

Indonesia’s fuel subsidy and food-price dynamics continued to shift through late 2026. In the energy sector, the government maintained that subsidized fuel prices, including Pertalite at Rp10,000 per liter and Biosolar at Rp6,800 per liter, would remain stable through the end of 2026, despite global crude oil reaching $107 per barrel. To mitigate Middle East geopolitical ~~risks and potential supply disruptions,~~ risks, the Ministry of Energy and Mineral Resources announced a shift toward ~~directly~~ seeking countries with surplus oil stocks rather than relying on traditional auctions. ~~While subsidized rates remain fixed, non-subsidized fuels like Pertamina Dex and Pertamax Turbo saw price increases in late September.~~ Food security concerns intensified as inflation approached Bank Indonesia’s 3.5% upper target. Chili prices experienced extreme volatility; by mid-October, red bird's eye chili reached highs of approximately ~~Rp114,000~~ Rp127,604 per ~~kg. Rice~~ kg in North Sulawesi. To mitigate these surges, the National Food Agency (Bapanas) facilitated air shipments of chili from East Java to high-demand regions. While rice prices ~~also~~ have trended upward, ~~frequently exceeding government-set maximum retail prices. Additionally, high protein costs persisted,~~ Perum BULOG reported that national rice reserves are secure, with ~~beef reaching Rp150,000 per kg~~ stocks and ~~chicken meat prices remaining above government retail references. Agriculture~~ existing supplies estimated to meet national needs through July 2027. Despite these measures, systemic challenges persist. Coordinating Minister ~~Andi Amran Sulaiman warned that a price anomaly—where low producer prices~~ for ~~poultry~~ Food Affairs Zulkifli Hasan noted that domestic rice production costs (Rp12,000–Rp14,000 per kg) remain significantly higher than in Thailand or Vietnam due to irrigation and ~~eggs contrast with high consumer costs—could risk the bankruptcy of 4.8 million farmers.~~ fertilizer inefficiencies. To combat ~~these surges,~~ rising costs and low purchasing power, the government launched the National Cheap Food Movement (GPM) across 38 provinces and 514 ~~regencies. Utilizing Perum BULOG, the initiative provides~~ regencies, providing subsidized staples ~~like rice, cooking oil, sugar,~~ and ~~eggs at subsidized rates. Meanwhile,~~ utilizing the ~~government is addressing systemic agricultural issues, such as high rice production costs compared~~ Food Distribution Facilitation (FDP) program to ~~regional neighbors, through planned regulatory reforms.~~ move surplus supplies to regions experiencing extreme price increases.

Versions

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