Prices of Some Basic Commodities Soar

Entering the year-end, the prices of several basic commodities have showed a significant increase. An increase in global commodity prices and La Niña have driven soaring domestic prices.

Kompas/Wawan H Prabowo

A number of buyers choose fresh vegetables at the Kebayoran Lama Market, Jakarta, Sunday (26/12/2021). Five days before the turn of 2021 to 2022, a number of prices for vegetables and other basic needs have increased.

JAKARTA, KOMPAS — The prices of a number of basic commodities such as cooking oil and red chilies increased sharply over the Christmas holiday. An increase in global commodity prices and the La Niña weather phenomenon has contributed to the increase in food prices. The price hike will in turn drive inflation, which could further affect consumers’ buying power, which generally remains weak.

The Trade Ministry reported that the prices of a number of basic commodities such as cooking oil, red chilies, chicken eggs, and shallots had showed a significant increase on a monthly basis. As of 24 Dec. 2021, the price of bulk cooking oil increased 3.49 month-to-month (mtm) to average Rp 17,800 (US$1.25) per liter, surpassing the retail price ceiling (HET) of Rp 11,000 per liter.