Indonesia to complete 35,872 village cooperatives by August

Must Read

Makassar (ANTARA) – The government is targeting completion of facilities for 35,872 cooperatives under the Red and White Village Cooperatives (KDMP) program by August 2026, Coordinating Minister for Food Affairs Zulkifli Hasan said.

“Our target this year is for 35 thousand cooperatives to complete development. Construction will continue into next year, as it is not feasible to develop 80,000 cooperatives simultaneously,” he remarked on Tuesday.

Speaking in Makassar, South Sulawesi, Hasan acknowledged that achieving the target would not be easy.

Even so, he expressed confidence that construction of a large number of cooperative facilities would be completed by August with support from the military, allowing them to begin operations the following month.

Last year, the government brokered a cooperation agreement between state-run food company PT Agrinas Pangan Nusantara and the military to carry out the construction of business facilities under the KDMP program.

Hasan said the number of completed cooperative facilities could increase to 60,000 next year.

“For the initial phase, the state budget will cover the salaries of managers,” the minister added.

He further emphasized the program’s significance, stressing that the government intends village cooperatives to help stimulate rural economic growth and reduce poverty by creating employment opportunities for local communities.

The cooperatives are also expected to serve as offtakers for locally produced agricultural and fisheries commodities in coordination with state logistics company Bulog, he added.

Moreover, KDMPs are expected to improve access to government assistance and subsidized goods for rural residents.

“This is a tremendous undertaking. Developing cooperatives in tens of thousands of villages cannot be accomplished overnight, it may take two to three years,” he affirmed.

On the same occasion, Villages and Disadvantaged Regions Development Minister Yandri Susanto noted that the KDMP facilities under construction include warehouses, each supported by one truck, two pickup trucks, and two operational vehicles.

He also said the government is ready to assist villages in securing land for the development.

Related news: Village cooperatives won’t harm community businesses: Minister

Related news: Grocery stores anchor village cooperative operations: Minister

Translator: Nur Sahra, Tegar Nurfitra
Editor: Primayanti
Copyright © ANTARA 2026

Latest News

BMKG issues high-seas warning as dual tropical cyclone seeds develop

Jakarta (ANTARA) - Indonesia’s weather agency BMKG has detected two tropical cyclone seeds forming north of the country, warning...

More Articles Like This