TANGERANG, The Kabar News—The National Nutrition Agency (BGN) plans to use the purchasing power of the Free Meals (MBG) program to expand market access for local farmers, livestock producers and food businesses.

BGN head Sudaryono said the program currently reaches about 58 million beneficiaries. Each meal carries a budget ceiling of Rp15,000, including Rp10,000 for ingredients such as rice, vegetables, fruit and protein.

“At Rp15,000 per serving, Rp10,000 is allocated for ingredients. These include carbohydrates, vegetables, fruit, animal protein, plant-based protein and other components,” Sudaryono said during the opening of the Nusantara AgriFuture Summit in Tangerang on Wednesday, Nov. 4.

“If we multiply that by 58 million beneficiaries, it creates a very significant opportunity for agricultural businesses,” he added.

Based on those figures, the ingredient allocation represents potential demand of up to Rp580 billion per operating day. Such demand occurs if all 58 million registered beneficiaries receive meals at the full Rp10,000 allocation. The calculation illustrates the program’s purchasing scale. However, it does not represent audited daily expenditure because actual distribution can vary.

Sudaryono said BGN wanted MBG procurement to protect consumers from sharp price increases. At the same time, it should help farmers and livestock producers when commodity prices fall. Large and predictable purchases could provide producers with a more stable market. Such a scenario is possible provided that supply keeps pace with demand.

“I want to encourage all of you to increase productivity. MBG must become an instrument that can help shape food stocks and prices in the market, so consumers are not harmed and producers are not disadvantaged either,” he said.

However, concentrating demand through thousands of MBG kitchens could also place pressure on prices. This would happen if local production, storage or transport capacity remains insufficient. BGN would therefore need to coordinate procurement schedules with seasonal harvests. In addition, it must consider regional supply conditions.

BGN Regulation Number 10/2026 requires nutrition fulfillment service units (SPPGs) to involve local suppliers. Eligible participants include micro and small businesses, cooperatives, village-owned enterprises and individual producers.

BGN is also developing Loka MBG, an online procurement platform that will connect verified suppliers with SPPGs. The system adapts the Education Ministry’s SIPLah purchasing infrastructure to make prices visible and transactions easier to trace.

The pilot currently covers 40 kitchens. BGN aims to extend the system to about 26,700 SPPGs nationwide in January 2027. This depends on technical readiness and trial results, according to BGN.

The platform could give local producers a more predictable market and reduce reliance on intermediaries. Its effectiveness will ultimately depend on fair access for small suppliers, timely payments and consistent food-quality controls.

Transparent procurement data will also be essential. It will help determine whether MBG spending genuinely improves farmers’ incomes without raising food prices for the wider public.