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View all search resultsThe Business Competition Supervisory Commission (KPPU) has formed a special team to investigate the surge in rice prices, including looking for evidence of potential cartel behavior among rice traders.
The greatest contributing factor is the yield gap between farmers on Java and farmers outside Java, so a national program on increasing rice productivity should focus on massive investment in agricultural technology to boost the capacity of farmers outside Java.
Economists have cautioned the government to address the growing FDI imbalance between food producing sectors and the manufacturing and mining sectors, particularly as harvest disruptions due to El Niño were expected to continue into 2024.
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