Minister touts Red and White Coop as village service hubs

Jakarta (ANTARA) - Cooperatives Minister Ferry Juliantono said Red and White Village Cooperatives are being developed as integrated community economic service centers at the village and subdistrict levels by bringing together a wide range of essential public services.

Ferry said the cooperatives will enable residents to access daily necessities, subsidized fertilizer and liquefied petroleum gas (LPG), healthcare services through village pharmacies and clinics, as well as facilities for procuring agricultural and fisheries products.

“By integrating these services, distribution chains can become shorter, more efficient, and more accessible to the public,” Ferry told ANTARA in Jakarta on Friday.

Beyond functioning as cooperative business entities, Red and White Village Cooperatives are expected to serve as local economic drivers by connecting communities with various government programs and public services.

According to the minister, professionally managed cooperatives that respond to local needs will improve distribution efficiency, strengthen the bargaining position of farmers, fishers, and small businesses, and generate broader and more sustainable economic benefits for rural communities.

The government aims to have around 40,000 Red and White Village Cooperatives operational by the end of 2026, he said.

To achieve the target, the cooperatives will gradually establish six core business units, based on their operational readiness.

The six business units include grocery stores, village pharmacies, village health clinics, savings and loan services, cooperative offices, as well as warehousing and logistics facilities.

Ferry added that residents are expected to access a broad range of services through the cooperatives, including necessities, subsidized fertilizer, LPG, and healthcare.

The integrated model is designed to enable communities to obtain essential goods and services within a single cooperative ecosystem while reinforcing the role of Red and White Village Cooperatives as drivers of local economic development.

One example is the Tamanmartani of Red and White Village Cooperative in Sleman District, Yogyakarta Special Region.

Operating since July 2025, the cooperative has established several business units, including a grocery store, an agribusiness unit, a health clinic, a pharmacy, and a fish farming unit.

In addition to serving local residents, the Tamanmartani cooperative also supplies food ingredients to five Free Nutritious Meals (MBG) kitchens, known as Nutrition Fulfillment Service Units (SPPGs) supporting the MBG program.

According to data from the Simkopdes system as of July 17, 2026, a total of 83,380 Red and White Village Cooperatives had been established nationwide, with 60,783 already obtaining a Business Identification Number (NIB).

Physical development of cooperative outlets is also progressing. Of the 38,050 proposed sites, 35,856 have been verified.

Among the verified locations, 470 have yet to begin construction, 18,855 are under construction, and 16,531 have been completed.

Related news: President eyes 30,000 village co-ops operational by July: Minister

Translator: Shofi, Azis Kurmala

Editor: Bayu Prasetyo

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