TEMPO.CO, Jakarta - President Prabowo Subianto has expressed concern over alleged price manipulation in the rice industry, where ordinary rice is reportedly being repackaged and sold as premium for higher profits.
According to the president, he received reports indicating that several rice milling companies have been involved in the scheme to inflate prices for personal gain.
“Regular rice is being repackaged, labeled as premium, and sold for Rp5,000 above the highest retail price. This is deceitful and criminal,” Prabowo said at the launch of the Merah Putih Village Cooperative in Klaten, Central Java, on Monday, July 21, 2025.
He emphasized that while Finance Minister Sri Mulyani Indrawati continues to work tirelessly to increase state revenue, fraudulent practices like this remain a major source of financial loss.
“Our Finance Minister is working hard to boost revenue through taxes and customs. Meanwhile, this kind of fraud is draining Rp100 trillion from the state every year, all going to just 45 business groups,” he said.
Prabowo described the falsification of rice quality as an act of betrayal against the country and its people. He warned that it not only enriches a few individuals but also weakens the national economy.
“This is a calculated attempt to keep Indonesia weak and poor. I will not tolerate it. I pledge before the people to uphold the Constitution and enforce the law,” he stated.
He urged swift action from National Police Chief General Listyo Sigit Prabowo and Attorney General Sanitiar Burhanuddin. He also called on the perpetrators to return the financial losses they have caused.
“I am instructing the Police Chief and Attorney General to launch investigations and take necessary action. If the Rp100 trillion is returned, so be it. If not, we will seize the assets of those responsible,” he added.
The president noted that the recovery of such a large sum would have a major impact on the country’s development programs.
“This year, we only have enough funds to renovate 11,000 schools with a budget of Rp19 trillion. With Rp100 trillion, we could upgrade 100,000 schools every year,” he explained.
Prabowo also pointed out that Indonesia is not the only country facing this problem. He referred to similar cases in Malaysia that sparked public outrage.
“This issue needs to be properly regulated. I have received reports from the Agriculture Minister. He addressed this in his previous term, but unfortunately, it has resurfaced,” Prabowo said.
He concluded by stressing the importance of law enforcement in recovering lost funds and using them for public welfare.
“Police Chief, Attorney General, I urge you to go after those involved. Let’s return that Rp100 trillion each year to the state treasury,” he said.
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