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Java official blames high chili price on wholesaler control

Nine wholesalers have been accused of involvement in a red chili cartel, particularly for red, bird’s eye chilis, which has been blamed for the uncontrollable prices of the commodity in a number of regions in Java.

In some markets, chili prices can reach Rp 150,000 (US$11.10), although the price at the farmer level is less than Rp 50,000.

“There is no problem with the prices from farmers. The problems start from what I call large wholesalers who operate in East, Central and West Java,” the Agriculture Ministry’s horticulture director general Spudnik Sujono said as reported by tribunnews.com on Tuesday.

He said the nine wholesalers deployed staff in regions to collect the commodity from farmers. Previously, KPPU chair, Syarkawi Rauff, has said the wholesalers had withheld the product, causing a scarcity of the commodity. He blamed them for increases in red chili prices since December.

source: thejakartapost.com