DistantNews

Trade Minister: DMO Distribution Effectively Maintains Cooking Oil Price Stability

From Tempo · (12m ago) Indonesian Positive tone

Translated from Indonesian, summarized and contextualized by DistantNews.

TLDR

  • Indonesia's Trade Minister Budi Santoso stated that the domestic market obligation (DMO) for cooking oil has effectively stabilized prices.
  • The average national price of MINYAKITA cooking oil was Rp15,961 per liter as of April 10, 2026, a decrease from Rp16,881 per liter before the policy took effect.
  • The DMO policy, requiring a minimum of 35% distribution through state-owned enterprises like Perum Bulog, has ensured more equitable supply and met its targets, with actual distribution reaching 49.45%.

Jakarta, Indonesia – The Indonesian government's strategy to stabilize cooking oil prices through the Domestic Market Obligation (DMO) policy is yielding positive results, according to Trade Minister Budi Santoso. The policy, which mandates a minimum of 35% of cooking oil distribution through state-owned enterprises such as Perum Bulog, has been instrumental in ensuring both availability and affordability for the public.

The positive impact further shows that the implementation of the DMO distribution obligation through Perum Bulog and State-Owned Food Enterprises is an important instrument to ensure the availability of supply reaches the people's market more evenly.

— Budi SantosoExplaining the effectiveness of the DMO policy in stabilizing cooking oil prices and supply.

Minister Santoso highlighted that as of April 10, 2026, the average national price for MINYAKITA, a key brand distributed under this scheme, stood at Rp15,961 per liter. This represents a notable decrease of 5.45% compared to the pre-policy price of Rp16,881 per liter in December 2025. The actual distribution realization has even surpassed the minimum requirement, reaching approximately 49.45%, indicating the policy's robust implementation and the market's responsiveness.

The 35 percent provision is the minimum limit that business actors must meet. This means that the realization of DMO, which depends on the export volume of palm oil derivative products, can exceed the minimum limit as is happening now.

— Budi SantosoClarifying the minimum requirement for DMO and the possibility of exceeding it.

From an Indonesian perspective, this news is significant. Cooking oil prices have been a sensitive issue, often impacting household budgets and contributing to inflationary pressures. The success of the DMO policy, particularly through the MINYAKITA brand, demonstrates the government's commitment and ability to manage essential commodity prices effectively. While international observers might view this as a standard economic intervention, for Indonesia, it represents a crucial step in ensuring food security and economic stability for millions of its citizens. The policy's success is a testament to coordinated efforts between the government and industry players, ensuring that domestic needs are prioritized.

Currently, there is no shortage of cooking oil in the market. The availability of cooking oil supply is safe because there is still premium cooking oil and.

— Budi SantosoAssuring the public about the current availability of cooking oil in the market.
DistantNews Editorial

Originally published by Tempo in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.