Village cooperatives (Kopdes) in the Merah Putih are set to take on a significant role in the distribution of subsidized essential goods such as LPG and fertilizers in rural areas, according to Minister of Cooperatives Budi Arie Setiadi. The government’s strategy involves utilizing Kopdes Merah Putih as the primary distribution center to ensure direct access to these vital products for rural residents while also streamlining the supply chain. Although Village-Owned Enterprises (BUMDes) will continue their operations as usual, Kopdes will serve as the main channel for the distribution of subsidized goods and social aid.
The government’s goal is to establish 80,000 units of Kopdes Merah Putih to empower local communities and stimulate rural economies. The funding for these units will be carefully managed to ensure that the benefits directly benefit the residents of the village. Minister Budi stressed the importance of viewing Kopdes as a business entity owned by the village, whereby profits are shared among local villagers who are members. This cooperative approach aims to uphold cooperative principles and bolster economic activities within the village.
