Indonesian people are getting more and more addicted to wheat, this is the fate of rice

Published 2022년 7월 6일

Tridge summary

The article highlights the stable and decreasing rice prices in Indonesia over the last two years, which is no longer driving inflation. However, the cost of rice farming has increased, and the government's absorption of rice reserves is at its lowest, leading to prices falling below the government purchase price. This situation is causing financial distress for farmers. Furthermore, the per capita rice consumption in the country has decreased, with people consuming more wheat due to urbanization and the development of processed food industries. The USDA predicts a continued decline in rice consumption, while wheat consumption is expected to rise. This shift in consumption habits and the financial challenges faced by farmers due to declining prices and rising production costs are the article's key points.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Jakarta, CNBC Indonesia - The price of rice in the last 2 years is considered very stable so that it is no longer the cause of inflation. The price of rice is no longer dependent on the season, but is increasingly falling below the government purchase price (HPP). Meanwhile, the declining consumption of rice is considered to be one of the causes of the downward trend in rice prices in Indonesia. In addition, the government's absorption of the lowest in the history of government rice reserves (CBP) by the State Logistics Agency (Bulog). On the other hand, the cost of rice farming has continued to rise over the last 2 years. The Central Statistics Agency (BPS) noted that the average price movement of grain and rice in June 2022 was sloping compared to May 2022. In June 2022, the price of dry-harvested unhusked rice (GKP) grew by 1.7% compared to May 2022, lower than that of May 2022. May 2022 which rose 2.12% compared to April 2022. Rice prices in mills fell 0.30% in June 2022 ...

Source: Cnbcindonesia