Merah Putih Village Cooperatives (Kopdes) will have a significant role in distributing subsidized essential goods like LPG and fertilizers in rural areas, according to Minister of Cooperatives Budi Arie Setiadi. The government’s plan is to utilize Kopdes Merah Putih as the primary distribution point to ensure that rural residents can directly access these basic necessities and to streamline the supply chain. Even though Village-Owned Enterprises (BUMDes) will continue their regular operations, Kopdes will serve as the primary channel for distributing subsidized goods and social assistance.
The government is focused on establishing 80,000 units of Kopdes Merah Putih to empower local communities and enhance rural economies. The financing of these units will be managed carefully to ensure that the benefits reach village residents directly. Minister Budi stressed the importance of viewing Kopdes as a business institution owned by the village, with profits shared among members who are local villagers. This cooperative approach aims to strengthen cooperative principles and support economic activities within the village.
