Jakarta. Agriculture Minister Andi Amran Sulaiman has accused three companies of allegedly underfilling and overpricing government-subsidized cooking oil.

During a market inspection on Saturday, the minister discovered that Minyakita, the subsidized cooking oil brand, was being sold in 1-liter packages containing up to 250 milliliters less than advertised. Additionally, the product was priced at Rp 18,000 ($1.1) per liter, exceeding the government’s price cap of Rp 15,700 ($0.96).

“These actions seriously harm the people, especially during Ramadan when basic commodity prices tend to rise,” Andi Amran was quoted as saying by state-run Antara news agency.

“If these companies are found guilty of violations, I will request their closure,” he added.

The three companies allegedly involved in the malpractice are Artha Eka Global Asia, Koperasi Terpadu Nusantara, and Tunasagro Indolestari.

The minister said he coordinated with the National Police’s Criminal Investigation Agency and the Food Task Force in handling the case, vowing strict action against businesses that exploit consumers.

Launched in July 2022, Minyakita was introduced to address Indonesia’s shortage of affordable cooking oil. Then-President Joko Widodo deemed it unacceptable for the world’s largest palm oil producer to face such shortages.

Under the Minyakita program, cooking oil producers receive larger crude palm oil (CPO) export quotas as compensation for their participation. Those contributing to the program can export 20 percent more CPO than their supply to Minyakita.

The government had previously banned CPO exports in response to the severe domestic cooking oil shortage but reversed the decision weeks later. To reduce production costs, authorities also introduced bulk cooking oil distribution, but logistical challenges in remote areas led to the Minyakita partnership with businesses.

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