July 2, 2026
 

Indonesia sets IDR19,500/kg broiler price floor target for 15 July as industry commits to graduated recovery

 
 

 

Sanctions including DOC and feed supply restrictions will be imposed on operators found selling below the agreed minimum, with police food task force conducting field inspections to enforce compliance.

 

Indonesia's Agriculture Ministry and poultry industry associations have agreed a coordinated plan to restore broiler livebird farmgate prices to a minimum of IDR19,500 per kilogramme (US$1.19/kg) for all sizes by 15 July 2026, with phased sanctions for non-compliant operators and a longer-term target of reaching the government reference price of IDR25,000/kg (US$1.52/kg).

 

The agreement was reached at a National Poultry Stabilisation Coordination Meeting convened at the Directorate General of Livestock and Animal Health on 30 June, attended by integrated poultry companies, Pinsar Indonesia, GOPAN, the National Police Food Task Force and ministry officials. Agung Suganda, Director General of Livestock and Animal Health, said all industry participants committed to implementing a gradual price increase from 1 July, with the IDR19,500/kg floor to be achieved across Java by 15 July.

 

Sugeng Wahyudi, Secretary General of GOPAN, said livebird prices had been below production cost for two months, placing significant financial pressure on farmers. "In two weeks, prices must be above the cost of production and moving towards the government reference price of IDR25,000 per kilogramme. We as an association will fully monitor this commitment," he said.

 

Enforcement will be carried out by the National Police Food Task Force. Brigadier General Zain Dwi Nugroho, head of the task force's pricing and food safety post, said sanctions would be applied in layers against operators found trading below the agreed floor price, beginning with reductions in DOC and feed allocations and escalating to further regulatory action. "If we find prices in the field still below what has been agreed, sanctions will be given starting from DOC reduction, feed reduction, through to recommendations for further sanctions," he said.

 

Participants also committed to maintaining production balance in accordance with Agriculture Ministry Regulation No. 10 of 2024, with compliance to be monitored by relevant ministries, the police food task force and the Business Competition Supervisory Commission (KPPU).

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