Merah Putih Village Cooperatives (Kopdes) will play a crucial role in distributing subsidized essential goods such as LPG and fertilizers in rural areas, as announced by Minister of Cooperatives Budi Arie Setiadi. The government plans to use Kopdes Merah Putih as the main distribution point to ensure that rural residents have direct access to these basic necessities and to streamline the supply chain. While Village-Owned Enterprises (BUMDes) will continue to operate normally, Kopdes will be the main channel for distributing subsidized goods and social assistance.
The government’s focus is on establishing 80,000 Kopdes Merah Putih units to empower local communities and boost rural economies. The financing of these units will be carefully managed to ensure that the benefits directly impact village residents. Minister Budi emphasized that Kopdes should be seen as a business institution owned by the village, with profits shared among members who are local villagers. This cooperative approach aims to strengthen the cooperative principles and reinforce the economic activities within the village.
