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agriculture

Indonesian Agriculture Ministry Fortifies Food Security Initiatives with Enhanced Financial Stewardship and Sustained WTP Opinion

by Dwi Wanna July 20, 2026

written by Dwi Wanna

Jakarta, Indonesia – The Indonesian Ministry of Agriculture (Kementan) has reaffirmed its unwavering commitment to maximizing government budgets to uplift farmer welfare and achieve sustainable food self-sufficiency through a series of strategic programs. This pledge was made by Vice Minister of Agriculture Sudaryono during a pivotal Working Meeting with Commission IV of the House of Representatives (DPR RI) in Jakarta on Monday, where the Ministry’s 2025 Financial Report and 2027 Work Plan and Budget were meticulously reviewed. The meeting underscored the Ministry’s robust financial health, marked by significant revenue growth, strategic expenditure, and critically, the achievement of an Unqualified Opinion (WTP) from the Supreme Audit Agency (BPK RI) for its 2025 financial statements – a testament to its strengthened governance and accountability.

Vice Minister Sudaryono emphasized that the paramount objective is to ensure that every allocated rupiah genuinely benefits farmers, amplifies food production, bolsters national food security, and ultimately propels Indonesia towards its ambitious goal of food self-sufficiency. "The most important thing is that the managed budget truly provides benefits for farmers, increases food production, strengthens food security, and supports the achievement of food self-sufficiency," Sudaryono stated, highlighting the results-oriented approach driving the Ministry’s financial strategy. This focus on tangible outcomes is central to Kementan’s mandate, aiming to transform agricultural potential into sustained prosperity for millions of Indonesian farmers and secure the nation’s food future.

Strategic Imperatives and Budgetary Allocations for Agricultural Advancement

Indonesia, as an archipelago nation with a vast agricultural sector, faces the perennial challenge of ensuring food security for its rapidly growing population. The Ministry of Agriculture plays a critical role in addressing this challenge by designing and implementing programs that span from upstream production to downstream distribution. These initiatives typically include enhancing irrigation infrastructure, distributing high-quality seeds and fertilizers, providing agricultural extension services, promoting modern farming techniques, and supporting post-harvest processing to minimize waste and add value. The budget allocated to the Ministry is therefore a vital instrument for national development and stability.

The discussion during the DPR RI Commission IV meeting provided a platform for both oversight and strategic alignment. Commission IV, responsible for agriculture, forestry, fisheries, and food, rigorously examines the Ministry’s past performance and future plans to ensure alignment with national development goals and prudent use of public funds. The review of the 2025 Financial Report offered insights into the effectiveness of prior spending, while the 2027 Work Plan and Budget outlined the strategic direction and resource allocation for future initiatives aimed at fortifying the agricultural sector. This cyclical process of planning, execution, and evaluation is fundamental to democratic governance and accountability.

Robust Financial Health: A Deep Dive into Kementan’s 2025 Performance

The 2025 Financial Report presented by the Ministry painted a picture of significant financial improvement and strengthened fiscal management. The report detailed a remarkable increase in the Ministry’s revenue, which reached Rp501 billion. This figure represents a substantial 43.79 percent surge compared to the previous year, indicating enhanced internal revenue generation capabilities and more efficient financial operations.

A primary driver of this impressive revenue growth was the increased sales of Foot-and-Mouth Disease (PMK) vaccines. PMK poses a severe threat to livestock populations, leading to significant economic losses for farmers and impacting the national meat and dairy supply. The Ministry’s successful efforts in vaccine production and distribution not only protected valuable livestock assets but also generated substantial revenue, showcasing a proactive approach to animal health management with tangible economic benefits. Beyond vaccine sales, the revenue increase also stemmed from the efficient recovery of expenditures from previous budget years, signaling improved financial reconciliation and accountability practices within the Ministry.

Parallel to its revenue growth, the Ministry of Agriculture demonstrated substantial expenditure, reaching Rp25.09 trillion. This significant sum was strategically deployed to accelerate various programs crucial for agricultural development. These programs encompass a wide array of initiatives, including:

Infrastructure Development: Investment in irrigation systems, rural roads, and agricultural processing facilities to improve efficiency and market access for farmers.
Technology Adoption: Promotion and subsidization of modern farming technologies, such as precision agriculture tools, improved seed varieties, and sustainable cultivation practices.
Farmer Empowerment: Training programs, extension services, and access to capital for smallholder farmers to enhance productivity and entrepreneurial skills.
Commodity Enhancement: Targeted programs to boost the production of staple foods like rice, corn, and soybeans, as well as high-value crops and livestock.
Disease Prevention and Control: Beyond PMK, ongoing efforts to prevent and manage other animal and plant diseases that could jeopardize food supply chains.

The robust financial position of the Ministry was further solidified by its asset base. As of December 31, 2025, total assets were recorded at an impressive Rp86.16 trillion. Correspondingly, the Ministry’s equity reached Rp83.39 trillion, marking a healthy 5.9 percent increase compared to the preceding year. This strong asset and equity position signifies the Ministry’s enhanced capacity to invest in long-term agricultural development projects, absorb financial shocks, and maintain operational stability. It underscores a well-managed balance sheet that supports its ambitious mandates.

The Gold Standard in Financial Governance: Consecutive WTP Opinions

A cornerstone of the Ministry’s positive report was the reaffirmation of its Unqualified Opinion (Wajar Tanpa Pengecualian – WTP) from the Supreme Audit Agency (BPK RI) on its 2025 Financial Report. The WTP opinion is the highest audit rating an institution can receive, indicating that its financial statements are presented fairly in all material respects, in accordance with applicable accounting standards. It is a powerful indicator of transparency, accountability, and sound financial management.

Vice Minister Sudaryono emphasized that achieving this WTP opinion, particularly for consecutive years, is not merely an administrative feat but a profound indicator of the Ministry’s commitment to clean, transparent, and results-oriented governance. "The success in once again achieving the WTP opinion also serves as an indicator of the increasing quality of the Ministry’s financial management after previously obtaining a WTP opinion in 2025," Sudaryono noted, highlighting a sustained trajectory of improvement. This consecutive achievement suggests that the Ministry has not only rectified past financial shortcomings but has also institutionalized robust internal controls and reporting mechanisms.

He further elaborated that maintaining the WTP opinion is a direct result of the diligent efforts of all personnel across the Ministry of Agriculture, ensuring that every state budget allocation is utilized precisely for its intended purpose: to strengthen the national agricultural sector. "The WTP predicate is not just an administrative achievement, but proof that the Ministry of Agriculture’s financial governance is getting better," he asserted, underscoring the deep-seated cultural shift towards greater financial integrity within the institution.

DPR RI’s Endorsement and Broader Implications

The Ministry’s strong financial performance and the WTP achievement garnered significant appreciation from members of DPR RI Commission IV. Ketut Suhendra, a member of Commission IV, lauded the Ministry’s consistency in upholding the WTP opinion. He attributed this success to the collective hard work of Kementan’s entire team in fortifying its financial management systems and internal oversight, thereby maintaining the high quality of its governmental governance. Such parliamentary recognition is crucial, as it validates the Ministry’s efforts in the eyes of elected representatives and, by extension, the public.

Echoing this sentiment, Muhammad Habibur Rochman, another member of Commission IV, highlighted that Kementan’s success was evident not only in the WTP opinion but also in its improved state revenue performance. "The Ministry of Agriculture’s revenue increased by 43.79 percent, or Rp501 billion. This is an achievement that deserves appreciation, especially as Kementan once again received the WTP predicate from the Supreme Audit Agency for the 2025 Fiscal Year Financial Report," Rochman remarked. This dual recognition of both increased revenue and impeccable financial reporting reinforces the narrative of a Ministry that is both fiscally responsible and operationally effective.

The broader implications of Kementan’s sustained WTP opinion and robust financial health are far-reaching. Firstly, it enhances public trust in government institutions. When a ministry responsible for a vital sector like agriculture demonstrates exemplary financial stewardship, it reassures citizens that their tax money is being used wisely and ethically. This trust is foundational for effective governance and citizen engagement in development programs.

Secondly, it signals to international partners, investors, and financial institutions that Indonesia’s agricultural sector is managed with high standards of accountability and transparency. This can facilitate access to international funding, technical assistance, and partnerships crucial for technology transfer and market access, further bolstering the sector’s growth potential.

Thirdly, and perhaps most importantly, sound financial management directly translates into more effective program implementation on the ground. When funds are managed transparently and efficiently, there is less waste and greater impact. This means more farmers receiving timely support, more effective infrastructure projects, better disease control, and ultimately, a more productive and resilient agricultural sector. The ability to efficiently deploy the Rp25.09 trillion budget for strategic programs is amplified by the integrity of its financial oversight.

Connecting the Dots: Integrated Strategy for a Resilient Agricultural Sector

The Ministry of Agriculture’s achievements in financial management are inextricably linked to its overarching mission of achieving national food self-sufficiency and improving farmer welfare. Without robust financial governance, even the most well-intentioned programs can falter due to inefficiencies, mismanagement, or corruption. The consistent WTP opinion provides a strong foundation for Kementan to pursue its strategic goals with confidence and credibility.

Indonesia continues to face significant challenges in its agricultural sector, including the impacts of climate change, limited land availability for expansion, an aging farming population, and complex supply chain logistics. In this context, every rupiah of the government budget must be utilized with maximum efficiency and impact. The Ministry’s commitment to optimizing budget utilization for strategic programs, coupled with its proven financial accountability, positions it well to address these challenges head-on. Initiatives like accelerated irrigation development, as previously highlighted by Vice Minister Sudaryono, and efforts to reduce reliance on food imports are direct beneficiaries of this improved financial stewardship.

The strategic programs funded by the Ministry’s budget aim to address these multifaceted issues. For instance, investments in climate-resilient agriculture, such as drought-resistant crop varieties and efficient water management systems, are crucial for mitigating the impacts of climate change. Programs supporting young farmers and promoting agricultural education are vital for rejuvenating the farming workforce. Meanwhile, strengthening domestic production of key commodities reduces import dependency, thereby enhancing national food sovereignty and economic stability.

Conclusion: A Blueprint for Sustainable Agricultural Prosperity

The Indonesian Ministry of Agriculture’s consistent achievement of an Unqualified Opinion from the BPK, alongside its impressive financial performance, marks a significant milestone in its journey towards fostering a robust, sustainable, and self-sufficient agricultural sector. Under the leadership of Vice Minister Sudaryono, the Ministry has demonstrated a clear commitment to leveraging government resources effectively and transparently, ensuring that every strategic program contributes meaningfully to farmer welfare and national food security.

This exemplary financial stewardship, validated by independent audit, serves as a powerful testament to the Ministry’s dedication to good governance. It instills confidence not only among parliamentary bodies like DPR RI Commission IV but also among the farming communities it serves and the broader Indonesian public. As the nation continues its pursuit of food self-sufficiency and agricultural resilience, the strong financial foundation built by Kementan provides a critical blueprint for achieving sustainable prosperity for its farmers and securing the food future for all Indonesians. The sustained momentum in both financial performance and programmatic execution is poised to drive the country closer to its vision of a truly independent and thriving agricultural landscape.

July 20, 2026 0 comment

Business and Finance

Minister of Agriculture Amran Sulaiman Categorically Denies Allegations of Undervalued Land Acquisition in Papua, Reaffirming Community Ownership

by Basiran July 19, 2026

written by Basiran

Jakarta, VIVA – In a resolute statement delivered on Monday, July 20, 2026, Minister of Agriculture (Mentan) Andi Amran Sulaiman vehemently refuted widespread allegations claiming that agricultural land in Papua was being acquired from local communities at an unfairly low price of Rp 100,000 per hectare. Speaking at a significant youth forum, Minister Amran underscored that such narratives constituted "cruel slander" against the government and its developmental initiatives, asserting unequivocally that all agricultural land developed under government programs in Papua remains the rightful property of the local communities.

The Minister’s clarification came during the 65th Milad (anniversary) Reception of the Ikatan Pelajar Muhammadiyah (IPM) and the IPM National Work Meeting, an event themed "Resonansi Algoritma Pelajar Berdampak" (Resonance of Impactful Student Algorithms), held at the Universitas Muhammadiyah Jakarta. The gathering brought together an impressive contingent of approximately 2,000 IPM cadres from across Indonesia, representing a vital segment of the nation’s youth and future leaders. It was in this dynamic setting that Amran chose to address the contentious issue, highlighting the government’s commitment to transparency and empowering the next generation with accurate information.

Addressing Misinformation at a Youth Forum

The formal proceedings of the IPM event, a crucial platform for student engagement and policy discourse, were momentarily paused for a direct dialogue session. It was during this segment that Muhammad Tamim Setiaji, an IPM delegate from Tangerang Selatan, Banten, posed a pointed question to the Minister. Tamim referenced the circulating information regarding the alleged undervaluation of land in Papua, specifically mentioning the Rp 100,000 per hectare figure. He sought clarification from the Minister, emphasizing the need for young people to assess such issues rationally amidst a deluge of information, often unverified, permeating public discourse.

Minister Amran seized the opportunity to directly confront these "fitnah" or slanders, stating that the information was entirely inconsistent with the realities on the ground. He expressed concern over the deliberate spread of misinformation, which he characterized as a concerted effort to undermine public trust and discredit genuine government efforts aimed at improving the welfare of Papuan communities. The Minister’s presence at the IPM event itself was a strategic move, leveraging a respected youth organization to disseminate accurate information and foster a more informed understanding of complex development issues. Muhammadiyah, a large Islamic organization in Indonesia, has a vast network of educational institutions and youth movements like IPM, making it an influential voice among students and the broader community.

Papua’s Agricultural Transformation: A Community-Centric Approach

In his detailed response, Minister Amran meticulously outlined the government’s approach to agricultural development in Papua, directly countering the narrative of forced or undervalued land acquisition. He emphasized that the programs are not designed to take over community land but rather to collaborate with and empower local populations. "That is cruel slander. One of them is the land price of Rp 100,000 per hectare. That is a very cruel slander against the government, including us who are running the program. In fact, the reality is not like that at all," Amran stated emphatically.

Instead of acquiring land, the government initiates and supports the construction of new agricultural areas, particularly rice fields, which are then designated as the exclusive property of the local communities. This model, according to the Minister, ensures that the benefits of increased agricultural productivity directly accrue to the Papuan people. The government’s role extends beyond mere land preparation; it encompasses comprehensive support, including the provision of essential infrastructure such as irrigation networks, and the distribution of agricultural machinery (alsintan) – all provided free of charge to the farmers.

Amran highlighted the significant scale of these interventions, reporting that the government has, to date, developed approximately 137,000 hectares of agricultural land across various regions in Papua. This extensive development is part of a broader national strategy to enhance food security and promote economic growth in eastern Indonesia, a region historically underserved in terms of infrastructure and development. The Minister proudly declared that all these developed lands remain under the ownership of the local communities, serving as a testament to the government’s commitment to respecting indigenous land rights and fostering sustainable livelihoods.

Substantial Investment and Holistic Support

The Minister further elaborated on the massive financial commitment backing these initiatives. He stated that the value of assistance provided to Papuan farmers through these programs runs into "trillions of rupiah." While specific budgetary breakdowns were not detailed in his address, this figure underscores the significant investment by the central government aimed at uplifting the agricultural sector in Papua. This investment covers a wide array of support mechanisms designed to boost productivity and improve the overall welfare of farmers.

Beyond land development and infrastructure, the government’s holistic approach includes:

Provision of Agricultural Machinery: Hundreds of units of agricultural machinery, ranging from tractors and rice planters to harvesters, have been dispatched to Papua. This mechanization is crucial for increasing efficiency, reducing manual labor, and enabling multiple cropping cycles, thereby enhancing overall agricultural output.
Establishment of Food Brigades: The formation of "Brigade Pangan" (Food Brigades) suggests an organized effort to support farmers, possibly through technical assistance, pest control, or post-harvest management, ensuring a more resilient food production system.
Irrigation Network Development: Robust irrigation systems are fundamental to modern agriculture, especially for rice cultivation. The construction and rehabilitation of irrigation networks guarantee a consistent water supply, mitigating the risks associated with erratic rainfall and expanding the cultivable area.
Support for Local Commodities: Recognizing the unique ecological and cultural context of Papua, the government also provides targeted support for the development of indigenous commodities like sago and coconut. This approach not only promotes biodiversity but also respects local traditions and food systems, ensuring that development is culturally sensitive and economically viable for local populations. Sago, in particular, is a staple food for many Papuan communities, and its enhanced cultivation can significantly contribute to local food security and income generation.

"The rice fields belong to the people. None of them belong to the state. We provide agricultural machinery for free. We build irrigation. Even the assistance provided is worth trillions of rupiah. All of that is for the community," Amran reiterated, leaving no room for doubt about the ownership and beneficiary of these programs.

Broader Context of Land Rights and Development in Papua

The issue of land rights in Papua is a deeply sensitive and complex matter, often intertwined with historical grievances, economic disparities, and the push for development. Large-scale development projects in the region, while promising economic growth, have sometimes faced scrutiny over their impact on indigenous communities and their ancestral lands. It is against this backdrop that allegations of undervalued land acquisition can quickly gain traction, tapping into existing concerns about exploitation and marginalization.

Minister Amran’s strong rebuttal and detailed explanation are therefore critical for fostering trust and clarity. The government’s emphasis on community ownership and free provision of resources aims to demonstrate a departure from past practices where development might have been perceived as top-down or extractive. The stated approach aligns with broader national policies that increasingly recognize the importance of indigenous land rights and participatory development models, particularly in regions with diverse cultural landscapes like Papua.

President Joko Widodo’s administration has consistently highlighted the acceleration of development in Papua as a national priority, encompassing infrastructure, education, health, and economic empowerment. Agricultural development, as spearheaded by Minister Amran, forms a crucial pillar of this strategy, aiming to transform Papua into a significant food-producing region while ensuring the prosperity of its inhabitants. The 137,000 hectares of developed land symbolize not just agricultural expansion but also an investment in the long-term food security and economic self-sufficiency of Papuan communities.

Implications for Public Trust and Policy

The Minister’s direct engagement with youth at the IPM event signifies the government’s recognition of the power of information and the need to counter misinformation proactively. In an era of rapid digital communication, false narratives can quickly spread and erode public trust, hindering the implementation of vital development programs. By providing factual counter-arguments and inviting rational inquiry, the government aims to empower citizens, especially the youth, to critically evaluate information and support evidence-based policy discussions.

The implications of Minister Amran’s statement extend beyond merely refuting a specific rumor. It reinforces the government’s commitment to:

Transparency and Accountability: By openly addressing allegations, the government demonstrates a willingness to be held accountable and to clarify its actions.
Community Empowerment: The focus on community ownership and free provision of resources underscores a strategy aimed at empowering local populations rather than displacing them.
Sustainable Development: Supporting local commodities and building robust agricultural infrastructure contributes to sustainable economic growth that respects the unique ecological and cultural context of Papua.
Combating Disinformation: Direct engagement with influential youth groups is a strategic approach to inoculate the public against misinformation and promote informed civic participation.

In conclusion, Minister Andi Amran Sulaiman’s emphatic denial of land acquisition at Rp 100,000 per hectare in Papua serves as a crucial clarification amidst circulating misinformation. His detailed explanation of the government’s community-centric agricultural development programs, characterized by significant investment, free provision of resources, and unwavering respect for local land ownership, aims to reaffirm trust and underscore a commitment to the genuine welfare and empowerment of Papuan communities. The incident highlights the ongoing challenge of combating disinformation and the importance of transparent communication in fostering public understanding and support for national development initiatives, particularly in sensitive regions like Papua.

July 19, 2026 0 comment