President Prabowo Subianto underlined the significance of launching 800,081 Merah Putih Village Cooperatives, stating that it is not solely about enhancing economic self-sufficiency among the people. It also aims to eradicate the exploitative practices of middlemen and loan sharks that have long disadvantaged farmers in rural areas. During the official inauguration of the Merah Putih Village Cooperative Program in Bentangan Village, Klaten Regency, Central Java, President Prabowo reflected on his observations of these chronic issues dating back to his tenure as Chairman of the Indonesian Farmers Harmony Association (HKTI) in 2004.
One of the persistent challenges faced by farmers, as mentioned by Prabowo, is the lack of proper storage facilities and trucks after harvest, leading to substantial post-harvest losses. The issue of subsidized fertilizer not reaching farmers due to excessive bureaucracy was also addressed by the President. He highlighted the hurdles faced in obtaining subsidized fertilizer, pointing out the numerous regulations and signatures required, hindering farmers’ access to such essential resources.
Furthermore, President Prabowo shed light on the systemic exploitation of farmers by middlemen, who manipulate prices when farmers are in urgent need of cash for daily household needs. Many farmers resort to borrowing from loan sharks, facing exorbitant daily interest rates due to limited access to formal credit. In response to these challenges, the Merah Putih Village Cooperatives were introduced as a transformative approach to break the cycle of exploitation that has persisted for generations.
President Prabowo stressed the necessity of bold and decisive action to tackle the long-standing issues affecting farmers in rural areas. He emphasized the importance of thinking big and acting boldly as a nation to bring about significant changes and improve the livelihoods of farmers across Indonesia.
