Jakarta. Indonesia will allocate approximately Rp 500 billion ($28 million) to help keep tofu and tempeh affordable by subsidizing soybean purchases for producers, Coordinating Economic Affairs Minister Airlangga Hartarto said on Monday.

Under the program, tofu and tempeh manufacturers will receive a subsidy of Rp 2,000 per kilogram whenever soybean prices exceed the government’s reference purchase price.

Airlangga said the measure forms part of the government’s second-half 2026 economic stimulus package, which is aimed at maintaining food price stability and supporting household purchasing power.

“The incentive for tofu and tempeh producers is a subsidy of Rp 2,000 per kilogram with a target quota of 250,000 tons,” Airlangga told a press conference in Jakarta.

Indonesia consumes roughly 2.5 million tons of soybeans annually, according to the minister. In the initial phase, however, the government will allocate subsidies for 250,000 tons to help secure supplies and ease production costs for tofu and tempeh makers.

The government considers the program important because tofu and tempeh are among the country’s most widely consumed and affordable sources of protein. By helping producers manage raw material costs, officials hope to prevent price increases from being passed on to consumers.

The soybean subsidy is one component of a broader economic support package that also includes the continuation of rice assistance for low-income households from July through September 2026.

The rice aid program will cover 33.24 million beneficiaries and require a budget of Rp 17.54 trillion ($983.3 million).

Overall, the government has earmarked Rp 26.34 trillion ($1.48 billion) for its second-half 2026 stimulus package. Food assistance accounts for the largest share, with Rp 18.04 trillion allocated to rice distribution and food price stabilization measures.

The package also includes Rp 2.04 trillion in transportation incentives and Rp 6.26 trillion for internship and vocational training programs.

“In total, the government’s stimulus package for the second half of the year amounts to approximately Rp 26.34 trillion,” Airlangga said.

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