Merah Putih Village Cooperatives (Kopdes) are set to play a crucial role in distributing subsidized essential goods, such as LPG and fertilizers, in rural areas, according to Minister of Cooperatives Budi Arie Setiadi. This initiative aims to utilize Kopdes Merah Putih as the primary distribution point to ensure direct access to basic necessities for rural residents and streamline the supply chain. While Village-Owned Enterprises (BUMDes) will continue their operations as usual, Kopdes will specifically handle the distribution of subsidized goods and social assistance.
The government’s goal is to establish 80,000 units of Kopdes Merah Putih, with a focus on empowering local communities and boosting rural economies. The financing of these units will be carefully managed to ensure direct benefits for village residents. Minister Budi emphasized that Kopdes should be viewed as a business institution owned by the village, where profits are shared among local villagers who are members. This cooperative approach aims to strengthen cooperative principles and enhance economic activities within the village.