Indonesia plans to spend nearly 2.5 billion USD on agriculture in 2026
The Indonesian Ministry of Agriculture’s budget ceiling for 2026 has been set at 40 trillion IDR (nearly 2.5 billion USD). This includes 6.9 trillion IDR for employee expenses, 1.3 trillion IDR for operational costs, and 31.72 trillion IDR for non-operational spending.
Jakarta (VNA) ꦿ– The Indonesian government has reaffirmed its strong commitment to national food security by sharply increasing the budget for the agricultural sector.
Speaking at a meeting with Commission IV of the Indonesian House of Representatives in Jakarta on September 3, Minister of Agriculture Andi Amran Sulaiman said the ministry’s budget ceiling for 2026 has been set at 40 trillion IDR (nearly 2.5 billion USD). This includes 6.9 trillion IDR for employee expenses, 1.3 trillion IDR for operational costs, and 31.72 trillion IDR for non-operational spending.
Priority allocations have been directed to key departments under the Ministry of Agriculture to implement strategic goals. The Directorate General of Land and Water Resources will receive the largest share at 15.7 trillion IDR, reflecting the government’s focus on rehabilitating and expanding irrigation systems. It is followed by the Directorate General of Industrial Crops with 5.99 trillion IDR, and the
Directorate General of Agricultural Infrastructure and Facilities with 4.42 trillion IDR.
The budget increase comes as Indonesia, the world’s fourth most populous nation, faces mounting food security challenges from climate change, El Niño–induced droughts, and global supply chain disruptions. Minister Sulaiman has outlined an agenda that prioritises agricultural modernisation and reducing reliance on imports under his tenure.
To achieve these goals, the ministry will implement four flagship programmes in 2026. The first aims to secure the supply, accessibility, and consumption of quality food, with emphasis on boosting production of rice, corn, and soybeans. The second seeks to raise value addition and competitiveness through post-harvest processing and agricultural exports. The third focuses on education and vocational training for farmers, particularly the large-scale “pompanisasi” programme to mechanise irrigation systems, helping farmers address water shortages and increase cropping intensity. The fourth targets administrative reform and greater efficiency across the ministry./.
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