Red-White Village Co-ops to be offtaker for villages' quality products
Bandarlampung, Lampung (ANTARA) - The Red and White Village Cooperatives (KDKMP) will serve as standby buyers, or offtakers, for flagship products produced by village communities and farmers, Cooperatives Minister Ferry Juliantono said here Friday.
Juliantono said the cooperatives could support downstream industrialization by absorbing village products, in line with President Prabowo Subianto's directive to expand their role beyond goods distribution.
He said KDKMPs could collect products from farmers and village communities, including food crops, fisheries, livestock and horticultural commodities, helping secure markets for local producers.
Rice could be delivered directly to cooperatives after harvest, where dryers would be available, while villages producing fruits and vegetables could receive processing machinery, he said.
The government will strengthen KDKMPs' offtaker role by procuring machinery for post-production activities, complementing existing equipment such as tractors and hand tractors.
Juliantono said current equipment procurement has focused mainly on production, leaving a gap in machinery needed to handle, process and add value to harvested products.
The Cooperatives Ministry will therefore propose funding for post-production machinery in the 2027 state budget to strengthen the cooperatives' role in downstream processing.
The ministry will also prioritize local products from micro, small and medium enterprises in each region for sale through cooperative stores, he said.
KDKMP was established under Presidential Instruction No. 9 of 2025 on accelerating the formation of Red and White Village Cooperatives, issued on March 27, 2025.
The program forms part of Prabowo's sixth Asta Cita priority, which seeks to stimulate local economies and accelerate poverty reduction from villages and sub-districts.
By mid-May 2026, the government had inaugurated 1,061 KDKMPs and targeted completing and fully operating 30,000 cooperatives by August 2026.
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Translator: Ruth, Kenzu
Editor: Rahmad Nasution
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