Village Cooperatives Set to Launch This Year Following Presidential Decree

The Indonesian government is set to socialize the Presidential Regulation (Perpres) Number 82 of 2026 concerning the Governance of 'Merah Putih' Village/Sub-district Cooperatives (KDKMP) soon after it was signed by President Prabowo Subianto last Saturday. The soft launch of these cooperatives is targeted for this year. Minister of Cooperatives, Ferry Juliantono, stated that the Presidential Regulation was signed last Saturday and will be socialized in the near future. He expressed hope that the managers for the cooperatives can be placed as soon as possible. These managers will be employed under a two-year fixed-term employment agreement (PKWT) with PT Agrinas Pangan Nusantara. Previously, Chief of Presidential Staff, General TNI (Ret.) Dudung Abdurachman, announced that the decree (SK) for the appointment of KDKMP managers has been issued. On Wednesday, September 23, 2026, at the Presidential Staff Office, Dudung explained that the issuance of this decree is one of the government's steps to accelerate the operational readiness of KDKMP. "More importantly, the decree for the cooperative managers has been issued today, and the payroll system from the Ministry of Finance is also in place," Dudung said. Joao Angelo De Saosa Mota, President Director of PT Agrinas Pangan Nusantara (Persero), explained that the KDKMP managers will have the status of State-Owned Enterprise (BUMN) employees under Agrinas, with a two-year fixed-term employment agreement (PKWT). This status is valid as long as the managers carry out their duties to support KDKMP's operations. After the two-year contract ends, Agrinas will evaluate the company's needs, and if still required, the managers' employment may be extended. The 'Merah Putih' Village/Sub-district Cooperatives (KDKMP) were initially targeted for a soft launch in October 2026. Minister Ferry Juliantono had indicated that the launch would proceed after the Presidential Regulation on KDKMP operational governance was signed by the President. The government is also preparing other operational aspects, including the placement of cooperative managers. Managers who have been recruited and trained have received their appointment decrees, which also stipulate their salaries and allowances. Currently, approximately 23,000 KDKMP buildings have been completed 100 percent, including the necessary facilities for cooperative operations. Of these, around 17,000 cooperatives are undergoing verification and validation (verval) processes. This process is conducted before the cooperatives are handed over to village governments for operational commencement. Minister Ferry had previously stated, during a working meeting with Commission VI of the House of Representatives on September 17, 2026, that these 17,288 KDKMP, which have physical buildings, are targeted to begin operations by the end of September or early October 2026. Based on data from PT Agrinas Pangan Nusantara submitted to the Ministry of Cooperatives, these 17,288 KDKMP have warehouse buildings, outlets, and other supporting equipment. After the physical construction is completed, the cooperatives do not immediately begin operations. The government first conducts verification and validation, review, and handover. This is followed by the placement of recruited and trained managers. Through this phased preparation, the government is ensuring KDKMP is ready to operate according to the established governance. The soft launch in October serves as an initial step to ensure the cooperatives can carry out their activities as per the established governance. Source: Liputan6