The government on Friday revoked a regulation setting price ceilings for rice, following protest from traders and wholesalers.

Trade Minister Enggartiasto “Eanggar” Lukita said he would invite all stakeholders to discuss a revision of Trade Ministry Regulation No 47/2017 on reference prices for rice bought from farmers and rice sold to consumers.

He claimed that the regulation had not been approved by the Law and Human Rights Ministry. However, Agriculture Minister Andi Amran Sulaiman had cited it as the legal basis for confiscating 1,160 tons of rice from a warehouse owned by PT Indo Beras Unggul (IBU) in Bekasi, West Java.

Under the regulation, the consumer price for rice is capped at Rp 9,000 (66 US cents) per kilogram for medium-quality and premium rice, while PT IBU sold its medium and premium rice at Rp 13,700 and Rp 20,400 per kilogram, respectively.

Enggar promised to include the concerns of all stakeholders in the regulation on rice prices.

“The authority to issue the regulation lies with the government, but before we issue a regulation, we will discuss the issue,” said Enggar when visiting a rice wholesale market in East Jakarta on Friday.

He said parties to be invited to a meeting would include representatives of the Agriculture Ministry, the Trade Ministry, the National Police, the Business Competition Supervisory Commission (KPPU), distributors, traders and rice millers.

Enggar said the government would set rice reference prices soon after an agreement was reached. (dis/bbn)

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