JAKARTA - Indonesian Chili Champions’ Association (ACCI) Chairman Tunov Mondro Atmodjo is urging the government to set upstream and downstream benchmark chili prices.
Based on data from the National Strategic Food Price Information Centre, the average price of red chili is still around Rp 59,200 per kg, while the average price of chili in general is around Rp 60,650 per kg.
“We hope that chili prices will be regulated as one of the national strategic foods. If prices are allowed to keep going wild, very high price fluctuations will not be a surprise,” Mr Atmodjo told Kontan.co.id, Wednesday (17/7).
With price regulation, Mr Atmodjo expects that chili prices can stay in the range of Rp 18,000-30,000 for farmers, and Rp 25,000-35,000 for consumers. According to him, benchmark prices will very much benefit farmers and consumers.
Mr Atmodjo said the skyrocketing chili prices were caused by supplies that did not meet market demands because farmers had no time to mind their land due to plummeting chili prices in the past eight months.
“Around eight months ago, prices plunged very deep for farmers. Two harvest seasons failed miserably, and eventually many farmers could not work on their land, which later got destroyed by pests and resulted in lower productivity,” Mr Atmodjo explained. (MS)