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‘Kerupuk’ to cost more as inflation bites

Norman Harsono (The Jakarta Post)
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Jakarta
Wed, April 20, 2022

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‘Kerupuk’ to cost more as inflation bites "Kerupuk" (crackers) are shown after they have been dried in the sun at a factory in Depok, West Java, on Jan. 27, 2020. (JP/Afriadi Hikmal)

Jakarta producers of traditional kerupuk (crackers) plan to raise prices on May 6 in response to higher ingredient costs.

The Jakarta Kerupuk Producers Association declared on Friday that its members would double the price of the popular kerupuk kaleng (canned crackers) to Rp 2,000 (14 US cents) apiece after the Idul Fitri holidays.

Association spokesman Kemal Mahmud said producers were primarily adjusting to rising prices of cooking oil and tapioca flour – the core ingredients of kerupuk – that had doubled from normal levels. Producers were also paying more for flavoring, garlic, salt and terasi (shrimp paste).

“If we do not raise prices, then how [can we keep going]?” he said during an event to announce the move at Jakarta’s Minggu Market as reported by kompas.com.

Jakarta, like many cities across Indonesia, has seen price hikes in a raft of staple foods this year, including tofu, beef and tempeh, due to various external factors, including sanctions imposed over the Russia-Ukraine war, higher freight costs, rising global demand and climate change.

Read also: Surging import costs hit food industry

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Cooking oil prices at traditional markets have gained 74 percent year-on-year to Rp 26,800 per kilogram, according to Information Center for Strategic Food Prices (PIHPS) data. The price of the product has risen alongside rising crude palm oil (CPO) prices.

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