Understanding Factors Affecting Food Commodity Price Fluctuation during the COVID-19 Pandemic Crisis in Indonesia

Abstract

Background. Indonesia, like many other developing countries, is currently in a period of concern about the impact of COVID-19 not only because of health but also on food insecurity, especially prices and other related factors. Purpose and Scope. This study aimed to understand the characteristics and effects of a pandemic on food prices and supplies. To facilitate data collection, we have reviewed many institutional websites and news updates. Method. Then we qualitatively analyzed the main components causing price increases or vice versa. Findings and recommendations. All provinces affected by COVID-19 experienced price shocks for food components and consumers sentiment. Qualitative analysis shows that prices of essential commodities are affected geographically, market access and sentiment. In general, since the beginning of the COVID-19, it proved that all regions experienced an increase in the prices of essential food components. It is due to the panic behaviour of residents buying goods and disrupted supplies. Therefore, policymakers and system controllers must play a role in ensuring domestic food security when the country experiences various crises, one of which is the crisis due to the 2019 corona-virus