Letter: Investing in agricultural industry

The proposed plan for Indonesia’s agriculture in the article titled “The rise of agriculture and Indonesia’s future” (The Jakarta Post, Nov. 14) is of great concern to the future of food security of the Indonesian people.

Some salient points are made such as the world’s growing population and increasing wealth in developing countries resulting in increasing food demand along with the use of agricultural crops to produce fuels diverting agricultural crops toward non-food uses.  

As highlighted, given Indonesia’s climate and available land, Indonesia should certainly invest in building its agricultural industry.  

However, the proposed approach, to allow foreign investors into Indonesia’s agricultural sector, offers obvious benefits to multinational companies in industrialized countries and in doing so poses a very real risk of increasing future food insecurity for Indonesian people, particularly the most vulnerable sectors of society.  

There is a growing concern for the impact of increasing corporate concentration on farmers receiving adequate reward for their crops.  

Increasing corporate concentration over the food supply also risks increasing food prices with the additional profits going to multinational companies rather than local farmers.  

I would caution the government against allowing foreign investment into its agricultural industry. Sure, the overall yield may be lower without the technologies foreign investors can offer but at least the profits will remain in Indonesian farmer’s pockets.  

Thought needs to be given to marrying policy goals for economic growth with those for human development and future food security.  

Amber Bastian
Jakarta