Traders: Tens of Years Traditional Markets Mastered Big Players

The issue of food price volatility in the run-up to religious festivals is a concern of the government. But only recently the government finally involves the role of traditional market traders in maintaining the stability of food prices. 

General Chairman of Indonesian Market Traders Association (IKAPPI) Abdullah Mansuri said that during this time food price volatility is difficult to control due to the length of the distribution chain and market mechanism dominated by a handful of big businessmen. 

'The distribution chain becomes not through the agent or the middleman but directly from the factory to the market traders.There are already tens of years the market is controlled by big players,' said Mansuri to Kompas.com, Wednesday (14/06/2017). 

Mansuri added that his party became one of the merchant associations that the government involved in stabilizing food prices and cutting the distribution chain. 

'Kemendag and IKAPPI (cooperation) in order to speed up the distribution process, will later allow for (pruning the distribution) of some commodities,' said Mansuri. 

According to him, with this there are two strategic commodities of cooking oil and sugar directly supplied from producers to market traders. 

'This is for the merchant to make a profit and the trader is not always a scapegoat when the prices are high because actually, it is not the trader's fault that determines the price in that market is the person behind them or their suppliers,' Mansuri explained. 

With the cooperation between traders and the government, is currently being carried out technical alignment and implementation in the field so that price control and food distribution chain cutting can be done by all parties. 

'Yesterday we have signed the MoU last night and indeed there are some points that we offer so far there are merchants paid goods, but this time we request that there is a convenience in terms of payment means there is a pause like modern retail,' he explained. 

It has also conducted socialization to market traders in the Jakarta area related to cooperation with the government. 

'The socialization of our merchants has been calling from 42 markets in DKI Jakarta we have conveyed this intention and this must be done because this is for the merchant's good as well and there are already some markets willing to intervene by IKAPPI and Kemendag,' he concluded.