Jakarta, CNBC Indonesia – The Central Statistics Agency (BPS) noted that the portion of Indonesian people’s expenditure on buying food decreased by 2.29% to 48.99% compared to March 2022 which was recorded at 50.14%.

It was stated that Papua was the province with the highest share of food expenditure, reaching 57.36%. However, this figure is down compared to the March 2022 Susenas which was recorded at 59%.

Meanwhile, the region with the lowest portion of expenditure on food was reported to be DKI Jakarta, amounting to 37.82%. Decreased compared to Susenas March 2022 which was recorded at 37.75%.

These are the results of the March 2023 National Socio-Economic Survey (Susenas) published in ‘Expenditures for Consumption of the Indonesian Population per Province, March 2023’.

“Based on the March 2023 Susenas at the national level, the average monthly per capita expenditure for food and non-food consumption is 1,451,870 rupiah or an increase of 9.35% compared to March 2022,” wrote BPS, quoted Friday (27/10/2023 ).

It is suspected that the increase was triggered by a number of factors. Such as inflation, increasing economic growth, decreasing open unemployment rates, as well as the effects of government social protection programs.

Cigarettes Vs Rice

Based on the March 2023 Susenas, per capita spending per month for Indonesians was recorded at IDR 711,282 for food, and IDR 740,588 for non-food.

Even though the portion of expenditure on food is lower than non-food, there was an increase compared to the results of the March 2022 Susenas. Where food consumption rose 6.84% and non-food rose 11.87%, recorded at IDR 665,757 and IDR 662,025 respectively.

“The relatively large increase in the value of expenditure on non-food commodities compared to food commodities has caused this
“Food expenditure share figures have decreased compared to March 2022 conditions,” explained BPS.

It was stated that of total food spending, all commodities except oil and coconut experienced an increase. This is thought to be the effect of the Ramadan moment which coincides in March 2023. Which not only spurs an increase in consumption, but also increases prices.

“The commodities with the highest increase compared to March 2022 were the grains group, cigarettes and tobacco, up 10.73%. And, the grains group rose 12.18%.”

“Average grain expenditure increased from IDR 71,442 to IDR 80,146. The recorded effect of the increase in rice prices was an increase of 12.71% from IDR 11,800 per kg in March 2022 to IDR 13,300 per kg in March 2023. “

Positive Signal

As is known, expenditure for consumption is divided into two, namely for food and non-food. Both for monthly and annual periods. Expenditures for non-food in the March 2023 Susenas were 51.01%.

BPS said that buying food would be prioritized by low-income people. That will change as income increases. Where, spending on food will decrease in portion.

He added that the phenomenon of the portion of spending on food which is now less than 50% is a positive thing.

“This is a reflection of sustainable improvements in national food security, which the government is currently striving for,” wrote BPS.

The results of the March 2023 Susenas show that there are 15 provinces in Indonesia where the share of spending on food is below 50%, and 19 other provinces are above 50%. (Editor’s note, although the number of provinces here is only 34, this survey has taken into account 4 new Indonesian provinces).

The 15 provinces are:

– West Papua
– Maluku
– South Sulawesi
– Southeast Sulawesi
– Gorontalo
– Bali
– East Java
– Central Java
– Yogyakarta
– West Java
– DKI Jakarta
– Banten
– Riau islands
– East Kalimantan
– North Kalimantan.

“The smaller share of food expenditure is an indication of better food security,” said BPS.

[Gambas:Video CNBC]

(dce/dce)