Jakarta — The Indonesian government has launched the Merah Putih Village Cooperatives (Kopdes) and Urban Cooperatives (Kopkel) to cut lengthy supply chains of essential goods and streamline the delivery of government assistance to local communities. Coordinating Minister for Food Affairs, Zulkifli Hasan (Zulhas), said the initiative is expected to make aid distribution faster and more accurately targeted.
“Kopdes can distribute essential goods directly from producers to cooperatives, cutting long supply routes,” Zulhas stated during a press conference at the Presidential Palace in Jakarta on Thursday (May 8).
“These cooperatives will handle the distribution of fertilizers, LPG canisters, and basic food supplies. All forms of government assistance will be channeled through Kopdes in cooperation with [postal service] Pos Indonesia, and then distributed to the community.”
He also emphasized that Kopdes could help reduce villagers’ dependence on illegal online lending (pinjol) by offering supervised savings and loan services within the cooperatives.
“In addition to streamlining supply chains, Kopdes can also eliminate the need for loan sharks and illegal lenders. BRI will be involved in the financial operations,” he added.
Following Presidential Decree No. 9 of 2025, signed by President Prabowo Subianto on March 27, the Ministry of Food Affairs and relevant agencies have been working together to accelerate the formation of Kopdes units. As of Thursday, 9,835 Kopdes units have been established across the country.
“The number continues to grow every day,” Zulhas said.
To ensure smooth implementation, the government has also established the Kopdes/Kopkel Merah Putih Task Force, chaired by Zulhas. Daily operations will be overseen by Deputy Minister of Cooperatives, Ferry Juliantono.
The government is preparing for the official launch and full operational rollout on October 28, 2025, to coincide with Indonesia’s Youth Pledge Day.
“We’re targeting the launch of all village-level cooperatives on October 28,” Zulhas confirmed.
At the same event, Minister of Cooperatives Budi Arie Setiadi stressed that membership in Kopdes/Kopkel is open to all citizens, and the government has issued operational guidelines for those interested in becoming cooperative administrators.
“Training and capacity-building programs will be provided. It’s a learning process, and we’ll go through it together,” Budi said.
He noted strong grassroots enthusiasm for establishing Kopdes through special village assemblies (musdesus). Based on current momentum, he expects a rapid surge in cooperative formation.
“The enthusiasm is very high. I believe by the end of this month we’ll reach between 50,000 and 60,000 cooperatives. And very soon we could reach 80,000, given how strong the momentum is across regions,” he concluded.
