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Wednesday, 24 August 2022 12:17

National Defense Agency Reveals Global Distribution Barriers

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The conflict between Russia and Ukraine to date has had an impact throughout the world, including Indonesia. One that is quite affecting the economic condition is the delay in the distribution of food raw materials.

Because Russia and Ukraine are the main suppliers of wheat in the world market. The war hampered the supply of wheat from both countries and affected the food conditions of other countries.

Governor of the National Defense Agency (Lemhanas) Andi Widjajanto said Indonesia had no problem with commodity shortages. However, what is worried is when commodity prices in the market actually soar.

"Our problem is not supply, but what price is set when it reaches consumers," said Andi. The Governor of Lemhanas stated this at a press conference at the Jakarta Geopolitical Forum VI/2022 event, Wednesday (24/8/2022).

Andi revealed that 82 percent of global supply distribution for food and energy commodities is by sea. Of this percentage, as many as 60 percent of them are disturbed.

Meanwhile, through the Indonesian sea, according to Andi, it is about 46 percent of the world's food and energy supply. "Usually through the Straits of Malacca, Sunda Strait or Lombok Strait," he said.

When he met Ukrainian President Volodymyr Zelenskyy, President Joko Widodo had requested that the food supply chain not be restrained. The government has also made other efforts, such as raising the interest rate of Bank Indonesia to suppress inflation.

Andi said the government needs to optimize two things to control inflation. "That is securing prices and checking the availability of supplies," he emphasized. (RRI)

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