KADIN INDONESIA

Indonesian Chamber of Commerce and Industry

KADIN INDONESIA

Indonesian Chamber of Commerce and Industry

KADIN INDONESIA

Indonesian Chamber of Commerce and Industry

Ministry of Cooperatives–Kadin Indonesia Strengthen Red and White Cooperatives for the National Food Supply Chain

Jakarta - The Government, through the Ministry of Cooperatives of the Republic of Indonesia, in collaboration with Indonesian Chamber of Commerce and Industry, has launched a strategic initiative titled #SatgasProtein. This program aims to empower Red-and-White Village/Sub-district Cooperatives to strengthen the national protein supply chain while supporting the Free Nutritious Meals Program (MBG).

This collaboration was formalized through the signing of a Memorandum of Understanding numbered 2/NKB/M.KOP/2025 and Sperj/16/KU/III/2025, underscoring the synergy between the government and the business community in building a food cooperative ecosystem centered on the production and distribution of both animal- and plant-based protein.

The program stems from the need to reinforce the role of cooperatives as a pillar of the people’s economy. The Ministry of Cooperatives holds the mandate to formulate cooperative development policies to drive economic growth and community empowerment, while Kadin Indonesia serves as a bridge between the business sector and the government, particularly in trade, industry, and services.

In its implementation, the scope of cooperation includes data provision and exchange, strengthening protein production and distribution capacity, facilitating financing, enhancing the competencies of cooperative human resources, and reinforcing the institutional capacity of Red-and-White Cooperatives. In addition, both parties will conduct joint coordination and outreach to ensure effective implementation on the ground.

Operationally, the Ministry of Cooperatives and Kadin will carry out joint surveys and verification of cooperatives requiring empowerment, while also providing priority location data. Kadin, on the other hand, will implement empowerment programs through protein provision, as well as expanding market access and business partnerships for cooperatives.

This collaboration will be valid for three years and may be extended upon mutual agreement. Funding sources will come from each party’s budget as well as other legitimate sources. Program success will be measured through several indicators, including the number of assisted cooperatives, monthly protein distribution volume, geographic coverage, increases in cooperative income, and compliance with food quality and safety standards such as SNI, BPOM regulations, and halal certification.

In its initial phase, the program will focus on four key sectors: broiler chickens, layer chickens, dairy cattle, and supply chain strengthening. This approach is considered strategic given the significant contribution of these commodities to national protein needs.

One of the flagship programs is a layer chicken business mentoring initiative for village cooperatives, which will begin as a pilot project before being scaled up nationally. Each cooperative is expected to manage approximately 1,000 layer chickens and 2,000 broilers, adjusted to village capacity and human resource readiness.

The mentoring will not only focus on technical aspects of livestock farming but also on developing sustainable cooperative business models. Training materials will cover strengthening the mindset of cooperative managers, business management, risk management, operational governance, and marketing digitalization.

From an economic perspective, the program offers promising potential. Assuming an average production rate of 87% and an egg price of approximately IDR 30,000 per kilogram in the first year, cooperatives are projected to generate around IDR 13.7 million in monthly revenue, with potential increases as prices rise and operational efficiency improves.

More broadly, the program is expected to create a model for modern food cooperatives that are not only productive but also transparent, adaptive, and scalable nationwide. In a wider context, #SatgasProtein represents a concrete step toward strengthening food security based on a people-centered economy, while addressing nutritional challenges through an inclusive and sustainable approach.

Through close collaboration between the government and the business sector, Red-and-White Cooperatives are projected to become a new driving force in the national protein supply chain, connecting village-level production with consumer demand in a more efficient and equitable manner.

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KADIN INDONESIA

Indonesian Chamber of Commerce and Industry

KADIN INDONESIA

Indonesian Chamber of Commerce and Industry