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Jakarta Post

Explainer: How Job Creation Law impacts agriculture

The Jakarta Post Image
Harvest time: Farmers in Sirnagalih village in Bogor, West Java, harvest rice on July 25, 2019 amid a prolonged drought. West Java is one of the country’s major rice-supplying regions. (JP/P.J. Leo)
Dzulfiqar Fathur Rahman
Jakarta   ●   Mon, October 19, 2020

The recently passed Job Creation Law officially revises laws related to agriculture, including on investment, imports and land use, aimed at improving the country’s ease-of-doing-business ranking and boosting food security, although experts have questioned the new law’s efficiency and long-term impacts.

The amended laws include Law No. 39/2014 on plantations, Law No. 13/2010 on horticulture, Law No. 18/2012 on food and Law No. 41/2009 on the protection of sustainable food agricultural land, among others.

President Joko “Jokowi” Widodo proposed the jobs law, which was passed on Oct. 5, to improve Indonesia’s regulatory climate and thus encourage more investment.

However, since its passage by the House of Representatives, it has sparked strong oppositions from labor unions,

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