Indonesia. Bulog to distribute 500 thsd tons of corn in 2026

The State Logistics Agency (Bulog) is significantly increasing its support to farmers to stabilize animal feed prices and contain the cost of eggs and poultry meat.

In 2026, Bulog confirmed its commitment to distribute 500,000 tons of corn under the Stabilization of Demand and Price Program (SPHP). The primary goal of this initiative is to ensure the availability of raw materials for the feed industry and guarantee a stable income for farmers.

Program Scaling and Procurement

Bulog’s current plans demonstrate a tenfold increase in the program’s scale compared to last year.

Distribution Target: 500,000 tons of corn through cooperatives and livestock breeders’ associations.

Procurement Target: The agency plans to purchase up to 1 million tons of corn domestically to strengthen Indonesia’s strategic food reserves. This process will be coordinated with the National Police to ensure transaction transparency.

2025 Results: Support for Independent Farmers

In 2025, the program demonstrated high effectiveness:

• Over 51,200 tons of corn were distributed (out of a planned 52,400 tons).
• Assistance was provided to 2,109 independent egg farmers.
• Feed corn was supplied to farmers at a fixed price of approximately $0.32 per kg.

Strategic Importance for the Market

The government views the SPHP program as a key lever for influencing food inflation. Stabilizing corn prices directly impacts production costs in the poultry industry, which allows for:

• Containing price increases for chicken eggs and poultry meat on store shelves.
• Maintaining the viability of small and medium-sized poultry farms amid global grain market volatility.
• Ensuring the country’s food security by building significant domestic reserves.

Tags: corn, Indonesia