Prof Bayu Krisnamurthi: Orde Baru Era Rice Self-Sufficiency, Inspiration for Indonesia’s Agricultural Development
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Prof Bayu Krisnamurthi, Agribusiness Expert at IPB University, mentioned three national policies that can be an inspiration for agricultural development towards the Golden Indonesia 2045. One of them is rice self-sufficiency during the Orde Baru Era.
“There are three successful policies in food and agricultural development, which can be an inspiration for future agricultural food development,” said Prof Bayu Krisnamurthi during the Press Conference of Pre Oration of Professor of IPB University, Thursday (23/1).
First, the rice self-sufficiency policy of the Orde Baru Era. The policy succeeded in making Indonesia achieve rice self-sufficiency in 1985/1986.
Second, he continued, the development of plantations and the palm oil industry. This was also able to make Indonesia the largest producer and exporter of palm oil products in the world.
Third, the development of Calina papaya (better known as California papaya). Through the work of IPB’s Center for Tropical Fruit Studies, Calina papaya was able to hold a market share of up to 75 percent while encouraging a 30 percent increase in papaya consumption.
“The characteristics of the three successful policies are overall agribusiness systems and businesses from upstream to downstream, from land to dinner plates,” he said.
He added that another lesson learned is the importance of consistency and persistence over a relatively long period of time.
The direction of economic development towards the Golden Indonesia of 2045 includes achieving economic growth of 8 percent per year and the contribution of the manufacturing industry in the economy reaching 28 percent. In addition, per capita income is targeted at around USD 20 thousand dollars, as a characteristic of a country that has left the middle income trap.
“This requires extraordinary efforts from all parties, including from the food and agriculture sector, so that the expected targets can be achieved,” he said.
For this reason, Prof Bayu suggested several key things for innovative policy innovation. First, downstreaming requires upstreaming, namely the development and development of the agricultural sector to produce raw materials for downstream industries.
“Second, a good and comprehensive understanding of the development of tastes and ‘sophistication’ of consumer demand for downstream products is needed.
Then, it requires adequate involvement and investment of business actors, ranging from farmers, agri-food SMEs, to large agro-industries. The role of the government as a facilitator (enabler) can make business actors develop in the downstream activities of agricultural food.
“The food and agricultural downstream program has the potential to manifest into rural agroindustrialization, and is even considered very potential to become a form of Indonesia’s economic reindustrialization strategy,” he concluded. (dh) (IAAS/RUM)