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Indonesia Achieves Historic 4.8 Million Ton Rice Reserve Amidst Global Food Security Concerns, Accelerating Self-Sufficiency Target to One Year

by Lina Hope October 23, 2025

written by Lina Hope

In a period marked by escalating global anxieties over food security and widespread import dependencies, Indonesia has announced an extraordinary achievement: its government rice reserves have soared to an unprecedented 4.8 million tons. This record-breaking figure is not merely a statistical anomaly but a profound indicator of a significant reorientation in the nation’s food policy trajectory, signaling a robust pivot towards enhanced domestic resilience.

The Minister of Agriculture, Andi Amran Sulaiman, attributed this monumental accomplishment to a comprehensive suite of strategic measures meticulously implemented across the entire agricultural value chain, from upstream cultivation to downstream distribution. Minister Sulaiman emphatically stated that the national target for food self-sufficiency, initially projected to take four years, has now been successfully fast-tracked to an ambitious one-year timeline, underscoring the efficacy and urgency of the government’s renewed focus on agricultural transformation.

Background: Indonesia’s Persistent Quest for Food Security

Indonesia, the world’s fourth most populous nation, has historically grappled with the complex challenge of ensuring stable food supplies for its over 280 million citizens. Rice, as the staple food, holds immense economic, social, and political significance. Decades have seen the nation oscillate between periods of relative self-sufficiency and reliance on imports, often dictated by domestic production levels, climate variability, and global market dynamics. Past efforts to achieve lasting rice self-sufficiency have faced numerous hurdles, including land conversion, water scarcity, limited access to modern farming technologies, bureaucratic inefficiencies, and fluctuating commodity prices.

The global landscape has further intensified these domestic pressures. Recent years have witnessed unprecedented disruptions to global food supply chains, exacerbated by geopolitical conflicts such as the war in Ukraine, which impacted grain and fertilizer markets, and increasingly erratic weather patterns driven by climate change. Events like the El Niño phenomenon frequently threaten crop yields in Southeast Asia, making a robust national food reserve and resilient domestic production system more critical than ever. Against this volatile backdrop, Indonesia’s strategic decision to fortify its food reserves and accelerate self-sufficiency has emerged as a paramount national security imperative.

A Sweeping Overhaul: Policy and Regulatory Reforms as the Foundation

Minister Sulaiman highlighted that the bedrock of this accelerated progress lies in an aggressive program of policy and regulatory reform. The government embarked on a concerted effort to dismantle hundreds of outdated or redundant regulations that had long been identified as bottlenecks stifling agricultural productivity and efficient food distribution. This reform initiative culminated in the issuance of no fewer than 16 strategic regulations, including Presidential Regulations and Presidential Instructions, designed to streamline inter-sectoral coordination and inject new impetus into the agricultural sector.

One of the most impactful reforms targeted the highly critical and often problematic fertilizer sector. Previously, the distribution of subsidized fertilizers was mired in a convoluted bureaucratic process involving multiple layers and intermediaries, leading to delays, leakages, and inequitable access for farmers. The government moved decisively to cut 145 specific fertilizer-related rules, fundamentally simplifying the distribution mechanism. Under the new streamlined system, fertilizers are now channeled directly from the Ministry of Agriculture to PT Pupuk Indonesia, the state-owned fertilizer holding company, and subsequently distributed to farmers with greater speed and precision. This reform is estimated to have significantly reduced logistical costs and improved the timeliness of fertilizer delivery, a crucial factor for optimal crop growth.

In parallel with regulatory simplification, the government also undertook a comprehensive reform of fertilizer governance. This included a substantial increase in the national fertilizer allocation, reaching 9.55 million tons, a move aimed at ensuring adequate supply to meet the demands of expanding cultivation areas and intensified farming practices. Crucially, the price of subsidized fertilizers was reduced by 20 percent. This dual approach of increased allocation and reduced cost has demonstrably eased the financial burden on farmers, particularly smallholders, while simultaneously incentivizing greater and more efficient use of inputs, thereby directly contributing to enhanced agricultural productivity.

Financial Reprioritization and Investment in Productive Sectors

Beyond regulatory changes, a significant financial commitment underscored the government’s resolve. An estimated Rp3.8 trillion (approximately USD 240 million) was reallocated from non-priority government expenditures to directly productive sectors within agriculture. This strategic reallocation of funds was meticulously directed towards critical areas designed to bolster farm-level productivity and infrastructure. Key investment areas included the rehabilitation and expansion of irrigation networks, procurement and distribution of superior quality seeds, implementation of large-scale pompanization programs, and the provision of essential agricultural machinery and equipment.

This targeted investment aimed to address long-standing infrastructural deficits and equip farmers with the tools necessary to modernize their operations. Improved irrigation ensures consistent water supply, especially in rain-fed areas vulnerable to drought. Access to high-yielding, disease-resistant seeds is fundamental for boosting per-hectare productivity. The provision of machinery reduces manual labor, increases efficiency, and allows for timely farming operations, all of which are vital for enhancing overall output and reducing production costs.

Intensifying Production: Upstream Interventions Yielding Results

At the core of the production boost were several key upstream interventions:

Intensification through Superior Seeds and Timely Fertilization: This program focused on maximizing yields from existing agricultural land. Farmers were provided with access to genetically improved, high-yielding seed varieties tailored to local conditions, often exhibiting greater resistance to pests, diseases, and adverse weather. Coupled with technical guidance on precise and timely fertilization based on soil nutrient analysis, this approach ensured that crops received optimal nourishment at critical growth stages, leading to significant increases in harvest yields per unit area.
Pompanization Program: A particularly innovative and impactful initiative was the large-scale pompanization program, which extended to approximately 500,000 hectares of previously rain-fed agricultural land. This program involved installing water pumps and associated infrastructure to draw water from rivers, lakes, or groundwater sources, enabling farmers to irrigate their fields even during dry seasons. The primary objective was to transform single-cropping rain-fed areas into multi-cropping systems. By ensuring consistent water availability, the pompanization program allowed farmers to increase their cropping index from once a year to two or even three times annually, effectively multiplying the productive capacity of these lands. This has been particularly crucial in mitigating the impacts of seasonal droughts and enhancing overall food production stability.
Swampland Optimization: Recognizing the vast, untapped potential of Indonesia’s extensive swampland areas, the government initiated a program to optimize approximately 800,000 hectares for agricultural cultivation. While challenging due to specific soil conditions and water management requirements, swampland optimization involves a combination of land preparation, drainage, and specific crop varieties suitable for such environments. This strategic expansion of arable land contributes significantly to the national agricultural output, diversifying the production base and reducing pressure on traditional rice-growing areas.

When combined, these intensive production programs—including the use of superior seeds, timely fertilization, the pompanization initiative, and swampland optimization—are estimated to have collectively contributed to an additional 1.3 million hectares of effective planting area. This substantial expansion, coupled with enhanced per-hectare productivity, has provided a significant uplift to national rice production figures, directly translating into the record-breaking government rice reserves.

Timeline and Key Milestones of the Agricultural Surge

The current surge in agricultural output and reserves can be largely traced back to the renewed impetus provided since Minister Andi Amran Sulaiman’s return to the Ministry of Agriculture in October 2023. His reappointment signaled a clear directive from the President to tackle food security challenges aggressively.

October 2023: Minister Sulaiman assumes office, immediately prioritizing food self-sufficiency and regulatory reform.
November 2023 – January 2024: Intensive review and identification of obstructive regulations, particularly in the fertilizer sector. Consultations with farmer groups and regional agricultural offices to understand ground-level challenges.
February 2024: Issuance of key Presidential Regulations and Instructions, streamlining inter-ministerial coordination and mandating regulatory cuts. Fertilizer distribution reforms begin to take effect, with pilot programs showing improved efficiency.
March 2024: Announcement of increased fertilizer allocation (9.55 million tons) and the 20% price reduction for subsidized fertilizers. Budget reallocation of Rp3.8 trillion is formalized, directing funds towards irrigation, seeds, and machinery.
April 2024 – June 2024: Accelerated implementation of pompanization programs across 500,000 hectares of rain-fed land. Swampland optimization efforts intensify, with initial planting cycles showing promising results. Distribution of superior seeds becomes widespread.
July 2024: Accumulation of rice reserves rapidly accelerates due to successful harvests influenced by the new policies and programs. The 4.8 million ton record is achieved, marking the culmination of these strategic efforts within a relatively short timeframe. This rapid timeline underscores the concentrated and coordinated effort undertaken by the government.

Official Responses and Expert Commentary

Minister Amran Sulaiman has consistently expressed confidence in the sustainability of these achievements, emphasizing that the reforms are structural and long-term. "This isn’t a one-off success; it’s the result of fundamental changes in how we approach food production and distribution. Our farmers are more empowered, our systems are more efficient, and our nation is more secure," he stated. He envisions Indonesia not only maintaining self-sufficiency but potentially becoming a regional food basket in the future.

Farmers’ associations across Indonesia have largely welcomed the reforms, particularly the simplified access to fertilizers and the price reduction. Representatives from the Indonesian Farmers Association (HKTI) have noted a tangible improvement in input availability and affordability, which directly translates to higher productivity and better incomes for their members. The provision of modern agricultural machinery and irrigation support has also been praised as a significant boost to their operational capabilities.

Agricultural economists, while commending the impressive achievement, offer a nuanced perspective. Dr. Sri Rahayu, an expert in food economics from the University of Indonesia, remarked, "The 4.8 million ton reserve is a remarkable buffer against global uncertainties. It significantly strengthens Indonesia’s bargaining position in international markets and provides immediate food security for its population. However, sustaining this level requires continuous investment, vigilant monitoring of climate change impacts, and further diversification of food sources beyond just rice." She also highlighted the importance of post-harvest management to minimize losses, which can be substantial in tropical climates.

Consumer groups have expressed relief, anticipating stable rice prices and consistent availability in the domestic market, alleviating concerns that often arise during periods of scarcity or high import dependency. Internationally, organizations like the Food and Agriculture Organization (FAO) are likely to view Indonesia’s intensified efforts as a positive development in global food security, particularly in a region highly vulnerable to climate shocks and market volatility. Such national-level successes contribute to broader regional stability and food resilience.

Implications and Future Outlook

The implications of Indonesia’s record rice reserves and accelerated self-sufficiency are multifaceted and far-reaching:

Enhanced Food Security and Resilience: The most immediate impact is a significantly strengthened national food security posture. With substantial reserves, Indonesia is better insulated from external supply shocks, price volatility in international commodity markets, and potential trade disruptions. This reduces reliance on imports, saving valuable foreign exchange and bolstering national sovereignty over its food supply.
Economic Stability: Stable domestic rice prices, guaranteed by ample supply, contribute to overall economic stability. Rice is a major component of the consumer price index, and price fluctuations can have significant inflationary effects. A stable supply helps control inflation and protects the purchasing power of low-income households.
Improved Farmer Welfare: The reforms, particularly in fertilizer distribution and pricing, coupled with support for irrigation and mechanization, directly translate to higher yields and reduced production costs for farmers. This leads to increased farmer incomes, alleviating rural poverty and stimulating local economies.
Sustainable Agricultural Practices: While boosting production, there is an ongoing imperative to ensure these practices are environmentally sustainable. Future efforts will need to focus on optimizing water use, promoting organic and precision farming techniques, and developing climate-resilient crop varieties to ensure long-term productivity without depleting natural resources.
Policy Continuity and Innovation: Sustaining this momentum will require unwavering political will and continuous innovation. Future governments will need to uphold and expand these reforms, adapting them to evolving climate patterns and technological advancements. Investments in agricultural research and development will be crucial for maintaining competitiveness and resilience.
Regional Leadership Potential: By demonstrating success in achieving food self-sufficiency, Indonesia could emerge as a leading model for other developing nations grappling with similar food security challenges, potentially even contributing to regional food reserves in the long term.

In conclusion, Indonesia’s attainment of a historic 4.8 million tons in government rice reserves and the expedited path to food self-sufficiency represent a landmark achievement driven by comprehensive policy reforms, strategic investments, and robust production programs. This pivot towards domestic resilience not only secures the nation’s food supply in an uncertain global environment but also lays a strong foundation for sustained agricultural growth and enhanced national prosperity. The challenge now lies in solidifying these gains, ensuring their sustainability, and continuing to innovate for the future of Indonesian agriculture.

October 23, 2025 0 comment

National News

Indonesia Accelerates Food Self-Sufficiency Target Through Comprehensive Agricultural Transformation

by Nila Kartika Wati September 7, 2025

written by Nila Kartika Wati

Jakarta, Indonesia – Indonesia has significantly accelerated its national food self-sufficiency target, achieving in just one year what was initially projected to take four years. This ambitious goal, spearheaded by Minister of Agriculture Andi Amran Sulaiman, has been realized through the implementation of nine pivotal strategies designed to strengthen national food production and resilience. The Ministry of Agriculture (Kementan) has undertaken a comprehensive transformation, yielding tangible results that position Indonesia firmly on a path toward sustainable food security.

The rapid progress underscores a resolute commitment from the Indonesian government to fortify its agricultural sector against domestic and global challenges. Historically, Indonesia, a vast archipelago with a large and growing population, has grappled with the complexities of food security, often relying on imports to meet domestic demand, particularly for staple commodities like rice. This reliance exposed the nation to global price fluctuations, supply chain disruptions, and inherent vulnerabilities that impacted both farmer welfare and national economic stability. Past administrations have made efforts towards self-sufficiency, but often faced hurdles related to policy inconsistencies, infrastructure deficits, and market inefficiencies. The current administration’s approach, therefore, marks a distinct shift towards an integrated and aggressive strategy.

Background: The Imperative for Food Security

As one of the world’s most populous nations, ensuring adequate and affordable food for its citizens is a paramount concern for Indonesia. Food security is not merely an economic issue but also a social and political one, directly influencing national stability, public health, and poverty alleviation efforts. For decades, Indonesia has experienced periods of rice deficit, necessitating imports to stabilize prices and prevent shortages. These imports, while addressing immediate needs, often depressed local farmer prices, disincentivized domestic production, and drained foreign exchange reserves. Furthermore, the agricultural sector remains a crucial pillar of Indonesia’s economy, employing a substantial portion of the workforce, especially in rural areas. Enhancing agricultural productivity and farmer income directly contributes to rural development and reduces income inequality. The current government’s focus on accelerating self-sufficiency reflects a strategic imperative to build resilience against future shocks, including those posed by climate change, geopolitical tensions, and global pandemics that can disrupt international food supply chains. The target acceleration from four years to one year highlights a recognition of the urgency and the potential for rapid, decisive action to transform the sector.

The Nine Pillars of Agricultural Transformation

Minister Amran Sulaiman detailed the nine key strategies that have served as the foundation for this expedited journey towards self-sufficiency. These strategies are interconnected, forming a holistic framework designed to address systemic issues across the agricultural value chain, from policy and governance to production and market intervention.

Policy and Regulatory Reform:
The first critical step involved a sweeping overhaul of existing policies and regulations. The government streamlined hundreds of cumbersome rules that previously hindered agricultural development. A significant achievement in this area was the issuance of at least 16 strategic regulations in the form of Presidential Regulations (Perpres) and Presidential Instructions (Inpres). These new legal frameworks were specifically designed to accelerate food production and distribution, while simultaneously strengthening inter-sectoral coordination. A prime example of this reform was the drastic simplification of fertilizer distribution regulations. Historically, obtaining approvals for fertilizer distribution was a bureaucratic labyrinth, requiring endorsements from up to 12 ministers, 38 governors, and 514 regional heads. This convoluted process led to delays, inefficiencies, and opportunities for corruption. Through a Presidential Instruction, the government slashed 145 such rules, enabling direct and more efficient distribution of fertilizers from the Ministry of Agriculture to PT Pupuk Indonesia, and subsequently, to farmers. This move drastically reduced lead times and ensured that vital agricultural inputs reached farmers more swiftly and accurately.
Fertilizer Governance Reform:
Building on regulatory simplification, the government undertook a comprehensive reform of fertilizer governance. This included a substantial increase in fertilizer allocation, reaching up to 9.55 million tons, to ensure adequate supply for farmers. Crucially, the price of fertilizer was reduced by an unprecedented 20 percent, a move hailed by farmers as a significant relief to production costs. Access to subsidized fertilizers was also expanded and simplified, allowing farmers to procure essential inputs using only their national identity cards (KTP). This measure removed barriers that previously excluded many smallholder farmers from accessing critical resources, thereby leveling the playing field and boosting productivity. The minister emphasized that such a price reduction had never occurred in the history of independent Indonesia, underscoring the magnitude of this reform.
Budget Realignment and Efficiency:
A substantial reallocation of the national budget was a cornerstone of the strategy. Approximately Rp3.8 trillion (around USD 240 million) was diverted from non-priority spending items to productive sectors within agriculture. This involved an aggressive efficiency drive, or "refocusing," of funds. Non-essential expenditures such as official travel costs, hotel expenses, and unnecessary office renovations were cut. The freed-up funds were then channeled directly into high-impact areas, including irrigation infrastructure, procurement of superior seeds, pompanization programs (water pumping systems), and the acquisition of agricultural machinery and equipment. This strategic shift ensured that financial resources were optimally utilized to directly enhance agricultural output and farmer capabilities.
Agricultural Intensification:
Intensification efforts focused on maximizing productivity from existing agricultural lands. This involved the widespread use of superior, high-yielding seeds, ensuring timely and precise fertilization, and implementing pompanization programs. The pompanization initiative targeted approximately 500,000 hectares of rain-fed land, transforming them into more productive areas capable of supporting two to three harvests per year (increasing the cropping index). This measure significantly mitigates the risks associated with erratic rainfall patterns and expands the effective planting area. Additionally, the strategy included the optimization of around 800,000 hectares of swamp land, converting previously underutilized or challenging terrains into productive agricultural zones. Combined, these intensification programs are projected to increase the total planted area by approximately 1.3 million hectares. The provision of free, high-quality seeds capable of yielding 8-10 tons per hectare further empowered farmers to achieve higher outputs.
Agricultural Extensification:
Complementing intensification, the government initiated an extensification program through the creation of new rice fields. This ambitious project aimed to establish approximately 200,000 hectares of new paddy fields, effectively expanding Indonesia’s total national rice cultivation area. This measure is crucial for accommodating future food demand increases and providing additional buffers against potential shortfalls. Such large-scale land development requires significant planning and investment, reflecting the long-term vision of the self-sufficiency program.
Strengthening Water Resource Infrastructure:
Reliable water supply is fundamental to agricultural success. The government committed to strengthening water resource infrastructure through the construction and revitalization of 61 dams. These dams have the potential to serve an irrigation area of up to 400,000 hectares. Furthermore, extensive rehabilitation of tertiary irrigation networks was undertaken to ensure efficient water distribution from main canals to individual farm plots. This investment in water infrastructure not only enhances productivity but also builds resilience against droughts and improves water management across agricultural regions.
Agricultural Modernization:
Embracing technology, the strategy emphasized the modernization of agricultural practices. This involved the widespread adoption of modern agricultural tools and machinery, the utilization of drones for monitoring and spraying, and the implementation of precision farming technologies. The minister highlighted that the use of modern machinery has been proven to reduce production costs by up to 50 percent and, in some cases, increase yields by as much as 100 percent. This technological leap aims to improve efficiency, reduce labor dependency, attract younger generations to farming, and make agriculture a more profitable and sustainable endeavor.
Institutional and Governance Reform:
To ensure the effective execution of these programs, institutional and governance reforms were critical. This involved rigorous evaluation and rotation of officials within the Ministry of Agriculture and related agencies. A total of 248 officials underwent rotation and evaluation, signaling a commitment to meritocracy and accountability. Furthermore, thousands of fertilizer distribution permits were revoked to curb malpractices and ensure that inputs reached their intended beneficiaries – the farmers – promptly and without diversion. This firm stance against inefficiencies and corruption aimed to restore trust in public institutions and streamline the implementation of agricultural policies.
Market Intervention and Price Stabilization:
The final strategy focused on stabilizing market prices and providing certainty for farmers. This involved strengthening the role of Perum Bulog, the state logistics agency, in directly absorbing farmers’ unhusked rice (gabah) at a guaranteed price of Rp6,500 per kilogram, regardless of quality (the "any quality" scheme). This intervention mechanism serves a dual purpose: it protects farmers from price crashes during harvest seasons, ensuring they receive a fair return for their labor, and simultaneously helps build the government’s rice reserves. This proactive market intervention is crucial for maintaining price stability for both producers and consumers, thereby fostering a more predictable and equitable agricultural ecosystem.

Tangible Results and Verifiable Achievements

The implementation of these nine strategies has yielded remarkable and verifiable results, fundamentally transforming Indonesia’s agricultural landscape:

Increased National Rice Production: National rice production is projected to increase by 4.07 million tons, or 13.29 percent, by 2025. This significant boost surpasses domestic demand, which typically ranges between 2.5 and 2.6 million tons per month, ensuring a comfortable surplus. The minister confidently stated that the combined impact of expanded planting areas from intensification and extensification programs accounts for an additional 1.5 million hectares, directly translating to this increased production.
Record Government Rice Reserves (CBP): As of mid-April 2026, the Government Rice Reserves (CBP) have reached an unprecedented 4.8 million tons. This figure represents the highest level in Indonesia’s history, nearly doubling the previous maximum stock of 2.6 million tons recorded during the Republic’s independence. This robust reserve provides a critical buffer against potential food crises and strengthens national food security.
Highest Farmer’s Exchange Rate (NTP): The Farmer’s Exchange Rate (NTP), a key indicator of farmer welfare, has surged to 125.35. This is the highest NTP recorded in the last 34 years, signaling a significant improvement in the economic well-being of Indonesian farmers. A higher NTP indicates that the prices received by farmers for their produce are increasing faster than the prices they pay for goods and services, thus enhancing their purchasing power and quality of life.
Robust Agricultural Sector Growth: The agricultural sector has demonstrated robust growth, reaching 5.74 percent. This represents the highest growth rate for the sector in 25 years, underscoring its renewed vitality and contribution to the national economy.
Zero Medium Rice Imports: A pivotal achievement highlighted by the government is that these gains were made without resorting to medium rice imports. This confirms that the increased production and reserves are entirely sustained by domestic output, a true testament to the success of the self-sufficiency programs.

Minister Amran Sulaiman affirmed the veracity of these figures, stating that the data aligns with assessments from reputable international and national bodies, including the Central Statistics Agency (BPS) of Indonesia, the Food and Agriculture Organization (FAO) of the United Nations, and the United States Department of Agriculture (USDA). He challenged any skepticism, encouraging critics to direct their inquiries to these independent statistical authorities.

Implications and Future Outlook

The rapid achievement of enhanced food self-sufficiency carries profound implications for Indonesia. Economically, it contributes to macroeconomic stability by reducing inflationary pressures, especially for staple foods. It also strengthens the country’s balance of payments by reducing the need for food imports. For rural communities, the improved Farmer’s Exchange Rate signifies better livelihoods, potentially slowing rural-to-urban migration and fostering more equitable development.

Strategically, it bolsters national resilience against global food price volatility and geopolitical disruptions that could impact supply chains. By lessening reliance on external markets, Indonesia gains greater control over its food destiny, enhancing its sovereignty and capacity to respond to crises. The modernization efforts also pave the way for a more sustainable and technologically advanced agricultural sector, potentially attracting younger generations to farming and ensuring the long-term viability of the industry.

While the current achievements are commendable, maintaining this momentum will require continuous effort. Challenges such as climate change, land conversion for non-agricultural uses, and the need for ongoing innovation remain. However, the comprehensive and results-driven approach demonstrated by the Ministry of Agriculture provides a strong foundation for Indonesia to sustain its food security gains and continue its journey towards becoming a resilient and self-reliant food producer on the global stage. The accelerated timeline for self-sufficiency serves not just as a national success story but also as a potential model for other developing nations striving for similar goals.

September 7, 2025 0 comment