The National Logistics Agency (BULOG) is the
sole government agency handling food grains in
Indonesia. Its main function is to stabilise prices
and it maintains stocks of grains in order to
achieve this. The quantity of grains (especially
rice) stored in its godowns varies from time to
time, but there is a tendency for it to increase each
year (Table I), because whilst production is
increasing, consumption remains more or less the
same.
The largest outlet for BULOG's rice in recent
times has been 'budget groups' (civil service,
armed forces, and government-owned plantation