Ada Pertanyaan? Hubungi Kami 
2026 Hak Cipta Milik Hukumonline.com
Produk Pilihan
Ada Pertanyaan? Hubungi Kami Nadia Maharani, Fitri N. Heriani
In light of the recent dramatic spike in beef prices, the Business Competition Supervisory Commission (Komisi Pengawasan Persaingan Usaha – “KPPU”) led by Syarkawi Rauf, recently inspected a West Jakarta slaughterhouse, as well as undertaking a series of feedlot inspections, accompanied by the Minister of Agriculture, Amran Sulaiman.Religious holidays are times of the year when demand for goods and food spikes considerably. However, after the recent Lebaran holiday in Indonesia, the prices of primary livestock did not return to their pre-holiday levels as usual but instead continued to skyrocket. According to Presidential Regulation No. 71 of 2015, meat is one of the primary livestock products for which the withholding of supply is strictly prohibited.
The dramatic increase in price has strengthened the KPPU’s suspicion that a possible beef cartel is in operation. Moreover, based on the results of the recent inspections conducted, Mr. Rauf has stated that the KPPU would call upon suppliers that it alleges may be a part of such a cartel. During a press conference held at the KPPU office last Tuesday, Mr. Rauf also affirmed the need to gather more evidence in order to augment the results of the recent inspections.
Suspicions surrounding the existence of such a large-scale criminal operation have not sprung up overnight however. Indeed, the Head of the KPPU recently announced that his department had been conducting ongoing investigations into the existence of a possible beef cartel since 2012. After three years of investigations that ultimately led nowhere however, the 2015 beef-price spike provided the KPPU with the necessary probable cause, enabling them to appoint council within the next two weeks.
Mr. Rauf has declined to offer any concrete details regarding the case, however he has stated that the KPPU would investigate 24 suppliers suspected of possible beef-cartel activity around the capital and its surrounding areas.
“However we do not know how many [suppliers] were reported, because the data has already been submitted,” Mr. Rauf explained.
The current administration has changed tack from the direction pursued by former President Yudhoyono, and recent policy has been to hugely decrease beef imports. However, such a policy has not led to the subsequent empowerment of the local beef industry. Thus the aim of reducing imports without any serious commitment to strengthen domestic production has resulted in the current market distortion, which has led in turn to shortages and price spikes.
Although a Presidential Regulation has been put in place in a bid to deal with the possible outcome of the government's import policy, the Head of the KPPU believes that this regulation has proved unable to deal with issues such as that of criminal cartels, even though it involves a primary livestock product.
“One of the articles in the presidential regulation outlines a prohibition on the withholding of primary goods in warehouse facilities when demand is strong and shortages, fluctuations, or trade problems are occurring. As articles such as this have been incorporated into the Presidential Regulation, then central government must also ensure price stability, as well as a steady supply, so that national trade is not disturbed.” Mr. Rauf concluded.
In order to assist the government in its bid to ensure stability, the KPPU has formulated a number of strategic steps, such as a review of current beef-trade policy, the taking of necessary measures as a result, and the appointment of teams to investigate and to pass judgments that protect the public. Furthermore, the KPPU will coordinate with the relevant ministries/entities in order to deal with price spikes.
Minister of Trade, Thomas Lembong, has previously pledged that livestock prices would improve and stabilize. However, in order to formulate a precise policy, the Minister has requested time in order to study the livestock issue and its various problems.
“Its not yet the time for me to address this matter. I request that everyone grant me another day or two to study this issue thoroughly, as I refuse to make a statement regarding an issue that I do not yet fully understand,” explained Minister Lembong.
(sp)
Nadia Maharani, Fitri N. Heriani
In light of the recent dramatic spike in beef prices, the Business Competition Supervisory Commission (Komisi Pengawasan Persaingan Usaha – “KPPU”) led by Syarkawi Rauf, recently inspected a West Jakarta slaughterhouse, as well as undertaking a series of feedlot inspections, accompanied by the Minister of Agriculture, Amran Sulaiman.Religious holidays are times of the year when demand for goods and food spikes considerably. However, after the recent Lebaran holiday in Indonesia, the prices of primary livestock did not return to their pre-holiday levels as usual but instead continued to skyrocket. According to Presidential Regulation No. 71 of 2015, meat is one of the primary livestock products for which the withholding of supply is strictly prohibited.
The dramatic increase in price has strengthened the KPPU’s suspicion that a possible beef cartel is in operation. Moreover, based on the results of the recent inspections conducted, Mr. Rauf has stated that the KPPU would call upon suppliers that it alleges may be a part of such a cartel. During a press conference held at the KPPU office last Tuesday, Mr. Rauf also affirmed the need to gather more evidence in order to augment the results of the recent inspections.
Suspicions surrounding the existence of such a large-scale criminal operation have not sprung up overnight however. Indeed, the Head of the KPPU recently announced that his department had been conducting ongoing investigations into the existence of a possible beef cartel since 2012. After three years of investigations that ultimately led nowhere however, the 2015 beef-price spike provided the KPPU with the necessary probable cause, enabling them to appoint council within the next two weeks.
Mr. Rauf has declined to offer any concrete details regarding the case, however he has stated that the KPPU would investigate 24 suppliers suspected of possible beef-cartel activity around the capital and its surrounding areas.
“However we do not know how many [suppliers] were reported, because the data has already been submitted,” Mr. Rauf explained.
The current administration has changed tack from the direction pursued by former President Yudhoyono, and recent policy has been to hugely decrease beef imports. However, such a policy has not led to the subsequent empowerment of the local beef industry. Thus the aim of reducing imports without any serious commitment to strengthen domestic production has resulted in the current market distortion, which has led in turn to shortages and price spikes.
Although a Presidential Regulation has been put in place in a bid to deal with the possible outcome of the government's import policy, the Head of the KPPU believes that this regulation has proved unable to deal with issues such as that of criminal cartels, even though it involves a primary livestock product.
“One of the articles in the presidential regulation outlines a prohibition on the withholding of primary goods in warehouse facilities when demand is strong and shortages, fluctuations, or trade problems are occurring. As articles such as this have been incorporated into the Presidential Regulation, then central government must also ensure price stability, as well as a steady supply, so that national trade is not disturbed.” Mr. Rauf concluded.
In order to assist the government in its bid to ensure stability, the KPPU has formulated a number of strategic steps, such as a review of current beef-trade policy, the taking of necessary measures as a result, and the appointment of teams to investigate and to pass judgments that protect the public. Furthermore, the KPPU will coordinate with the relevant ministries/entities in order to deal with price spikes.
Minister of Trade, Thomas Lembong, has previously pledged that livestock prices would improve and stabilize. However, in order to formulate a precise policy, the Minister has requested time in order to study the livestock issue and its various problems.
“Its not yet the time for me to address this matter. I request that everyone grant me another day or two to study this issue thoroughly, as I refuse to make a statement regarding an issue that I do not yet fully understand,” explained Minister Lembong.
(sp)