tate Logistics Agency (Bulog) is seeking an explanation from the government about its new job when non-cash food assistance for low-income families becomes a nationwide program to replace the distribution of 230,000 tons of rice per month.
“Bulog has questioned what will happen to all that rice when [the new system] if implemented,” Coordinating Economic Minister Darmin Nasution said after a meeting to discuss food issues at the State Palace in Jakarta on Tuesday.
Darmin explained that with 13 to 14 distributions of rice in one year, Bulog was responsible for distributing about 3 million tons of rice annually.
(Read also: Govt pilots non-cash social assistance distribution in Jakarta)
Currently, a trial run is currently being conducted on the government’s non-cash food assistance program in 44 cities through the Prosperous Family Card (Kartu Keluarga Sejahtera). Low-income families have been able to use the cards to buy food commodities in appointed outlets for the past six months.
The government has plans to turn it into a national program over the concern that conventional rice distributions may miss its target and after people complained about the poor quality of rice they received.
Bulog is also responsible for stocking rice supplies, but the government and Bulog still need to discuss how much rice has been accumulated, Darmin said.
“We, in fact, have too much [rice]. What will we do with the stock if we replace rice distribution with a non-cash system? If we just sell [the supply] in the market, prices will become volatile,” he said. (bbn)
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