Indonesia Agriculture Articles & Analysis

Chapter | Agriculture from The Report: Indonesia 2018

Sustained by a diverse landscape, Indonesia’s agriculture sector has long been an important source of income for local households and has contributed much-needed export revenue. The sector has historically served as a pillar of the Indonesian economy, but has yet to achieve its full potential, though significant progress has been made in recent years under the business-orientated...

With investment in industrial zones, SEZs, infrastructure and priority industries set to increase in the coming years, Indonesia remains extremely well positioned to capitalise on its position as a regional leader.

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What needs to be done to improve infrastructure in the sector, especially in terms of irrigation systems?

 

Through a series of focused initiatives, the Ministry of Agriculture (MoA) has managed to bolster food production, and with President Joko Widodo placing special emphasis on the segment, rice cultivation has received a boost. In terms of growth, few crops in Indonesia have prospered as much as rice over the past few years. In an effort to...

 

Stronger yields are expected in 2017 for Indonesia, which already ranks as the world’s largest producer of palm oil, accounting for 54% of global supply in 2016, according to data from the US Department of Agriculture (USDA). Revised data issued by the Indonesian Palm Oil Association (GAPKI) in March 2017 showed that CPO production in 2016...

 

Sustained by a diverse landscape, Indonesia’s agriculture sector has long been an important source of income for local households and has also contributed much-needed export revenue. The sector has historically served as a pillar of the Indonesian economy, but has yet to achieve its full potential, though significant progress has been made in...

With investment in industrial zones, SEZs, infrastructure and priority industries set to increase in the coming years, Indonesia remains extremely well positioned to capitalise on its position as a regional leader.

Improved weather conditions and expanded acreage should help Indonesia’s palm oil industry rebound from a weak harvest in 2016, though projections of higher output may put downward pressure on prices and have prompted calls for increased domestic consumption.