ICC EXPLAINS THE RESULTS OF MONITORING OF PRICES OF STAPLE FOODS IN VARIOUS REGIONS.

Monday, May 3, 2021

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ICC | Monitoring

Indonesia Competition Commission (ICC) monitors the prices of staple foods in six regions to prevent potential violations of Law No. 5 Year 1999, especially to know the constraints of distribution barriers in that sector. ICC in general found that it was true that there had been an increase in the prices of staple foods nationally, but the price fluctuation was still relatively stable in the first quarter of 2021. The price hikes of two commodities, namely chicken and chilies, did happen in almost all regions, with an increase ranging from 10%-30%. However, this increase has been brought about more by the non-competition factors, namely weather (seasonal climate) with regard to the harvest periods; supply constraints with regard to the logistics; and lengthy distribution paths.

ICC draw this conclusion after conducting various field monitorings since the beginning of 2021 in all ICC Regional Offices located in Medan, Bandar Lampung, Bandung, Surabaya, Balikpapan, and Makassar. The staple goods monitored were rice, sugar, cooking oil, meat, eggs, salt, chilies, and onions. The monitoring results show that the increase in prices of staple foods on the eve of Ramadan is often inevitable. The following is a broad outline of the monitoring findings conducted by ICC.

Work Region	Commodities/Staples that Fluctuate	Note
Region I (North Sumatra, West Sumatra, Aceh, Riau, and Kep. Riau/Riau Islands)	Beef, chilies, onions	Average increase of 16%
Region II (South Sumatra, Jambi, Lampung, Bengkulu and Bangka Belitung)	Chilies, onions, chicken, eggs	Relatively stable
Region III (West Java, Banten and DKI Jakarta)	Chicken, eggs, beef	Average increase between 10%-15%
Region IV (East Java, JCentral Java, DI Yogyakarta, Bali, NTT/East Nusa Tenggara, and NTB/West Nusa Tenggara)	Chicken	Average increase of nearly 30%
Region V (West Kalimantan, South Kalimantan, Central Kalimantan, East Kalimantan, and North Kalimantan)	Chilies	Average increase of nearly 20%
Region VI (Gorontalo, Southeast Sulawesi, South Sulawesi, North Sulawesi, West Sulawesi, Maluku, North Maluku, Papua, and West Papua)	Onions, chicken, eggs	Average increase between 11% – 25%

ICC continues conducting supervision to ensure there are no violations of Law No. 5 Year 1999, especially during the month of Ramadan and in the food sector.

ICC expects the supports of each party to report to ICC if there are violations of business competition in the said various staple foods. ICC keeps conducting supervision so as to ensure that there are no violations of Law No. 5 Year 1999, especially during the month of Ramadan and in the food sector.