Grocery stores anchor village cooperative operations: Minister

Jakarta (ANTARA) - Cooperatives Minister Ferry Juliantono reported that grocery stores have become the backbone of business activities under the Red and White Village Cooperatives (KDMP) program, accounting for most of the facilities already in operation.

He noted that both state-owned enterprises and the private sector have played a major role in supporting KDMP grocery stores nationwide by supplying essential goods.

“As for other business units such as savings and loans, logistics, pharmacies, and clinics, they remain under gradual development, depending on the readiness level of each KDMP’s readiness level,” Juliantono told ANTARA when contacted from Jakarta on Friday.

He highlighted the government’s assignment to SOEs, including logistics firm Bulog and food holding company ID FOOD, to supply village cooperatives with strategic commodities such as rice, sugar, cooking oil, fertilizer, and cooking gas.

The minister admitted that SOE supplies had not reached all KDMP grocery stores, citing ongoing administrative work, warehouse readiness, distribution system development, and business partnership establishment.

He also pointed to varying levels of operational readiness among cooperatives across regions as another challenge.

Furthermore, Juliantono said the government is partnering with state pharmaceutical company Kimia Farma to provide village cooperatives with technical assistance in preparing KDMP pharmacy operations.

He added that the partnership is supported by state health insurer BPJS Kesehatan through a program projected to use village cooperatives as virtual offices providing healthcare information, aiming to expand the National Health Insurance scheme’s reach to remote and outer regions.

On a broader scale, he underscored the target of operating 40,000 village cooperatives by the end of 2026 as construction of essential facilities progresses nationwide.

Data from the program’s official portal showed 83,380 village cooperatives had been established as of July 17, with construction completed for 16,531 units while another 18,855 remain under development.

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Translator: Shofi Ayudiana, Tegar Nurfitra

Editor: Azis Kurmala

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