Jakarta, December 23, 2025 20:08 PM
Cooperative Expansion: Indonesian Ministers Unite to Boost Rural Economies
Table of Contents
A new partnership aims to strengthen rural cooperatives across Indonesia, creating economic opportunities and integrating local businesses.
- Cooperatives Minister Ferry Juliantono signed a memorandum of understanding (MOU) with four other ministers.
- The collaboration focuses on developing rural cooperatives as key markets for small and medium-sized enterprises (MSMEs).
- Partnerships will leverage scientific research, forestry resources, immigration programs, and healthcare integration.
- The initiative aims to prioritize products from micro, small, and medium-sized enterprises on cooperative e-commerce platforms.
Indonesia is taking a significant step toward bolstering its rural economies. On Tuesday, December 23, Cooperatives Minister Ferry Juliantono formalized a collaborative agreement with four fellow ministers to strengthen the role of “red and white” rural cooperatives as engines of community economic growth. This isn’t just about paperwork; it’s a concerted effort to empower local businesses and improve livelihoods across the archipelago.
Minister of Cooperatives Ferri Julian Tono (3rd from left) and Minister of Micro, Small and Medium Enterprises Maman Abdulrahman (3rd from right) signed a memorandum of understanding on strengthening the role of red and white rural cooperatives in Jakarta.
A Multi-Ministerial Approach
The memorandum of understanding was signed in Jakarta with the participation of Minister of Micro, Small and Medium Enterprises Maman Abdulrahman, Minister of Forestry Raja Julius Anthony, Minister of Higher Education, Science and Technology Brian Iuliarto, Deputy Minister of Immigration Viva Yogi Moradi, and President of the Health and Social Security Management Agency, Ali Gufron Mukti. Minister Juliantono emphasized the strategic scope of this collaboration, outlining specific areas of focus for each participating department and agency.
Boosting MSMEs Through Cooperative Networks
A key component of the agreement involves partnering with the Ministry of Micro, Small and Medium Enterprises to develop Red and White Rural Cooperatives into expansive marketplaces for Indonesian MSME products. With a network of 80,000 stores already in place, these cooperatives are poised to become vital sales channels for small businesses nationwide. “We will give priority to ensuring that the products sold on the cooperative’s e-commerce platform come from micro, small and medium-sized enterprises (UMKM),” Juliantono stated.
Innovation and Resource Integration
The Ministry of Higher Education, Science and Technology will contribute by integrating scientific research and innovation into cooperative development. This includes reviving university student cooperative projects and supporting thematic social practice courses linked to rural cooperatives. Furthermore, the Ministry of Forestry will focus on strengthening the institutional capacity and human resources within forestry cooperatives, assisting social forestry business groups in establishing standardized business structures.
Addressing Resettlement and Healthcare Needs
In resettlement areas, the Ministry of Cooperatives will collaborate with the Ministry of Immigration to promote the establishment of cooperative enterprises focused on productive economic activities. Simultaneously, a partnership with the Health and Social Security Administration (BPJS Kesehatan) will facilitate data exchange, raise awareness of the National Health Insurance Scheme, and encourage cooperative member participation. “We also want the cooperative’s health service outlets, such as pharmacies and clinics, to be integrated into the NHS service ecosystem,” Juliantono added.
Local Integration is Key
Minister Maman Abdulrahman underscored the importance of this collaboration, noting that cooperatives can serve as a crucial platform for integrating local MSMEs. “We have assigned the Department of Medium Enterprises to conduct cluster classification in areas where there are red and white village cooperatives to identify small, medium and micro enterprises with development potential,” Abdulrahman explained.