Indonesia Expat
Business/Property News

Tofu and Tempe Strikes: Shortages Possible

Tofu and tempe craftsmen are on a production and sales strike for three days, from 1-3rd January.

This action may continue depending on whether the government agrees to increase the prices of tofu and tempe in the market.

Chairman of the Indonesian Tempe and Tofu Cooperatives Association, Aip Syarifuddin, said that whether he wanted it or not, he had to make this decision because the price of soybeans had risen abnormally.

Currently, the price of soybeans is up to Rp9,200 per kilo, with some even being sols for more than Rp10,000 per kilo. The normal price is Rp6,500-7,000 per kilo.

“A piece of tempe costs Rp2,000-3,000 per 250 grams, which means around Rp12,000-15,000 per kilo. Now, with the price of soybeans at Rp9,500 per kilo, tempe is made ove4 four days and the cost after production is only Rp17,000-18,000.

“It needs to be boiled, it needs to be wrapped, given yeast, and then the workers need to be paid as well so that 1kg of sales loses Rp2,000-3,000,” Aip said. 

With conditions that do not cover the initial capital and do not reach the break-even point (BEP), it is difficult for tempe producers to survive. Therefore, Aip asked for the understanding of the community and government in order to increase the price.

If a price reduction doesn’t materialise, it is possible that the tofu and tempe makers will return to striking and cease mass production. This could lead to tofu and tempe scarcity in the market.

This step was considered to be a solution; Aip said that it would be difficult if you had to change the size of packs to be smaller or thinner. That is not the right step because people are used to their normal size, he said.

“If the producers ask for a fair price increase, eggs and meat will all go up,” he explained.

Also Read Indonesian Promotes Tempe at Harvard

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