Indonesian Minister of Cooperatives, Ferry Juliantono, has announced the commencement of the construction of 34,000 new sales points under the umbrella of local cooperatives, with 2,500 points already completed. This initiative is part of the government's efforts to strengthen the role of cooperatives in supporting the local economy and providing essential goods to citizens.
The minister made these statements during a press conference in the city of Surabaya, where he emphasized that these points will contribute to the provision of essential goods and food supplies, in addition to offering health and financial services to local communities.
Details of the Initiative
The minister clarified that the announced 34,000 sales points are part of a total of 83,000 local cooperatives that have been established in Indonesia, which have obtained legal status. He pointed out that acquiring this status requires conducting specific consultations in each village and municipality, reflecting the importance of community participation in establishing these cooperatives.
After obtaining legal status, the physical construction of the points began, with PT Agrinas Pangan Nusantara assigned the construction task, supported by the Indonesian Armed Forces. Construction operations are expected to continue until 2026, with the minister targeting the completion of an additional 10,000 sales points by August and September of the same year.
Background & Context
Cooperatives are considered a fundamental part of the Indonesian economy, playing a significant role in promoting economic and social development in rural areas. In recent years, Indonesia has seen an increasing interest in developing this sector, as cooperatives represent an effective means of enhancing collective work and providing job opportunities.
Historically, cooperatives were established in Indonesia as part of government efforts to improve living standards in remote areas. However, there have been several challenges facing these cooperatives, including a lack of funding and training, prompting the government to take serious steps to enhance this sector.
Impact & Consequences
This initiative is expected to contribute to strengthening the local economy by providing new job opportunities and improving access to essential goods. Additionally, cooperatives will help enhance social ties among community members, thereby strengthening local community cohesion.
Furthermore, providing essential goods at affordable prices through these points will have a positive impact on the standard of living, especially in rural areas that suffer from a lack of basic services.
Regional Significance
Indonesia's experience in promoting cooperatives serves as a model that Arab countries can benefit from, as many Arab nations face similar challenges in economic and social development. Cooperatives can contribute to strengthening the local economy and providing job opportunities, thereby enhancing social and economic stability.
In conclusion, this Indonesian step represents an opportunity to enhance the role of cooperatives in sustainable development, opening new horizons for cooperation between countries in the fields of economic and social development.