Indonesia Targets Sugar Self‑Sufficiency with Plantation Obligation

  • 30 Jul 2026 17:54 WIB
  •  Voice of Indonesia
Key Points
  • Indonesia enforces plantation obligations for sugar processing industries to accelerate sugar self‑sufficiency and strengthen the domestic sugar sector.
  • Government targets sugarcane rejuvenation with 100,000 hectares this year and 150,000 hectares later to boost productivity without expanding land.

RRI.CO.ID, Jakarta – The Indonesian Agriculture Minister Andi Amran Sulaiman emphasized that every sugar processing industry must have its own sugarcane plantation. The policy reiterates a regulation introduced in 2013 and reinforced by the 2014 Plantation Law.

The measure aims to accelerate sugar self‑sufficiency, following President Prabowo Subianto’s directive.

Minister Amran acknowledged that the regulation has not been strictly enforced. “The provisions regarding this plantation obligation have been stipulated since 2014 through the Plantation Law. Now we are ensuring that all business actors strictly implement it without exception,” he said in Jakarta on Wednesday, July 29, 2026.

He added that every sugar processing unit using imported raw materials must establish its own plantation, as stipulated in Minister of Agriculture Regulation No. 98/2013. Companies are required to source at least 20 percent of their raw materials from their own plantations, but compliance remains low.

Minister Amran revealed that of the 11 operating refined sugar companies, only one meets this obligation. He noted that the influx of imported refined sugar has harmed farmers and the domestic sugar industry, making it difficult for farmers to market their crops.

To address this, the government will accelerate the sugarcane rejuvenation program. The ratoon replanting initiative -- involving new shoots growing from remaining stalks after harvest -- targets 100,000 hectares this year, with a goal of 150,000 hectares later.

Minister Amran stressed that all private companies and sugar importers must comply with the plantation requirement. The government will also revise regulations that provide loopholes for businesses to avoid the obligation.

“The President has ordered that we must achieve sugar self‑sufficiency within two years. Therefore, we will simultaneously regulate plantation obligations, rejuvenate sugarcane plantations, and take action against illegal refineries,” he said. (Misni Parjiati)

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