TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
Danantara to offer palm oil, sugarcane downstream plan: Ministry
The government has pegged the investment needed at Rp 802.56 trillion (US$50.5 billion) to ramp up processing across 11 key crops, Agriculture Minister Amran Sulaiman said on Monday.
Change text size
Gift Premium Articles
to Anyone
Share the best of The Jakarta Post with friends, family, or colleagues. As a subscriber, you can gift 3 to 5 articles each month that anyone can read—no subscription needed!
Endless rows: A truck passes through the middle of an oil palm plantation on Nov. 20, 2024, in Muaro Jambi, Jambi. The Office of the Coordinating Economic Ministry records that the government had disbursed a total of Rp 9.85 trillion through the Palm Oil Rejuvenation (PSR) program to 158,000 plantation owners owning a total of 357,000 hectares of land from 2016 to October 2024. (Antara/Wahdi Septiawan)
T
he country’s newly established sovereign wealth fund Danantara is expected to chip in to develop downstream industries for agricultural commodities including palm oil and surgarcane, a senior official said on Monday.
The government estimates it would require a Rp 802.56 trillion (US$50.5 billion) investment to ramp up processing across 11 key crops, aiming to unlock Rp 4.18 quadrillion in added value and create 6.22 million jobs, Agriculture Minister Amran Sulaiman said.
“The government will provide all the land needed, but [the downstream] plan will remain [in the hands of] the state,” Amran said, as quoted by Kumparan.
"I’m not sure if the private sector can take part, but I’d suggest they do so that we don’t drain the state budget.”
Increasing production in the agriculture sector has been President Prabowo Subianto’s main focus as he aims to reach food and energy self-sufficiency by the end of his five-year term in 2029.
To do that, the government plans to convert a total of 20 million hectares (ha) of forest across Indonesia into agricultural land to produce food, energy and water for the country’s self-sufficiency program.
Read also: Vietnamese group to invest in 10,000 ha Sulawesi dairy farm
