Sector
Agriculture
Indonesia, with its archipelago of volcanic soil and plentiful rainfall, offers a natural abundance that sustains the nation and plays a crucial role in its economic prosperity. One of the country’s leading sectors is agriculture, supporting the livelihoods of millions and making a significant contribution to Indonesia’s Gross Domestic Product (GDP). From rice paddies to coffee plantations, this diverse range of crops reflects the country’s unique geography and climate, making it a powerhouse in the global agricultural market.
View moreAgriculture
Indonesia, with its archipelago of volcanic soil and plentiful rainfall, offers a natural abundance that sustains the nation and plays a crucial role in its economic prosperity. One of the country’s leading sectors is agriculture, supporting the livelihoods of millions and making a significant contribution to Indonesia’s Gross Domestic Product (GDP). From rice paddies to coffee plantations, this diverse range of crops reflects the country’s unique geography and climate, making it a powerhouse in the global agricultural market.
In 2022, Indonesia’s agricultural sector generated approximately Rp2.4 quadrillion in GDP. This sector alone accounts for 12.4 percent of the country’s GDP, underlining its importance to the national economy. The following year, the country experienced a steady growth rate of 1.3 percent in this sector.
Agriculture serves as a key sector for the national economy in various Indonesian provinces, including Aceh, North Sumatra, West Sumatra, Riau, Jambi, Bengkulu, and South Sumatra. Additionally, the provinces of Lampung, Bangka Belitung, West Java, Central Java, East Java, and West Kalimantan, among others, also consider agriculture as a key sector.
This sector offers a rich variety of commodities, including paddy, corn, soybean, sweet potato, and cassava – all staple commodities that play a vital role in sustaining Indonesia’s food supply. Additionally, crops such as cocoa, coconut, coffee, and palm oil are essential for export income and providing job opportunities. In terms of employment, the agriculture sector employs nearly 28 percent of the country’s workforce.
The country’s agricultural sector has also attracted significant foreign investment in 2023, with roughly US$2 billion in direct contributions. With this sector helping sustain Indonesia’s food supply, the country’s paddy production statistics that same year indicate that roughly 10.2 million hectares of land were harvested, yielding an estimated 56.63 million tons of dried unhusked rice (GKG). Once processed for consumption, this translates to approximately 30.9 million tons of rice available for the population.
In a move to strengthen its agricultural foothold within Southeast Asia, Indonesia seeks to expand cooperation with Vietnam in both agriculture and aquaculture. Indonesia and Vietnam are forging a partnership to modernize their agriculture and aquaculture industries. This collaboration will leverage digitalization for improved efficiency and invest in research and development to enhance the quality and global competitiveness of their agricultural and fishery products.
Latest News
The Chromebook procurement case has become one of Indonesia's highest-profile corruption prosecutions, sparking intense debate over whether it represents a straightforward anti-corruption effort or something far more consequential.
Nine months after the legal process began, and with the court finally delivering its verdict, the case has evolved far beyond a routine procurement dispute. Instead, it has become a litmus test for the Indonesian justice system to distinguish between policy misjudgment, abuse of authority and criminal corruption.
On June 30, the Jakarta Corruption Court sentenced former education minister Nadiem Anwar Makarim to 10 years in prison, imposed a Rp 1 billion (US$55,700) fine and ordered him to pay Rp 809 billion in restitution. Nadiem was given one month to pay the restitution, failing which he will serve an additional five years in prison.
The bench found Nadiem guilty of abusing his authority in the procurement of more than 1 million Chromebook laptops between 2020 and 2022, when Indonesia and the world were hit hard by COVID-19 pandemic that forced schools to avoid in-class learning. According to the ruling, the then-education ministry altered procurement specifications in a way that effectively favored Chromebooks, resulting in Rp 1.57 trillion in state losses.
The court also concluded that the program failed to achieve its intended purpose because many schools, particularly those in areas with poor internet connectivity, were unable to use the devices effectively.
The verdict marked the culmination of a legal process that began on Sept. 4, 2025, when the Attorney General's Office (AGO) named Nadiem a graft suspect. Prosecutors maintained that internal technical assessments had found Windows-based laptops to be more suitable for Indonesian schools, yet those recommendations were allegedly set aside in favor of ChromeOS. They had initially sought 18 years' imprisonment, a Rp 1 billion fine and Rp 5.6 trillion in restitution.
Yet, the sentence itself is arguably not the most significant outcome of the case. More striking is how public opinion evolved throughout the proceedings. Unlike most high-profile corruption trials, where public frustration is typically directed at judges for handing down lenient sentences, the Nadiem case generated an altogether different response. Even before the verdict, much of the public debate had shifted from how severely he should be punished to whether the prosecution had convincingly demonstrated that a controversial policy decision amounted to criminal corruption.
Unlike conventional corruption cases involving bribery or personal enrichment, the Chromebook case revolved around a policy decision whose criminality depended on proving abuse of authority and corrupt intent. As the trial progressed, public attention increasingly focused not on whether the procurement had failed logistically, but on whether prosecutors had successfully demonstrated that the legal threshold for corruption had been met.
The first turning point came when Nadiem challenged his suspect designation through a pretrial motion. Although the court ultimately rejected the application, the proceedings attracted unusual attention after 12 prominent legal figures submitted amicus curiae briefs. Among them were former attorney general Marzuki Darusman and former Corruption Eradication Commission (KPK) commissioner Amien Sunaryadi.
The second turning point unfolded during the trial itself. As prosecutors and defense lawyers presented competing expert testimony and documentary evidence, public attention increasingly shifted to the strength of the prosecution's case. The defense consistently argued that the Chromebook program followed prevailing procurement procedures and generated cost efficiencies. While the court ultimately rejected those arguments, the proceedings exposed genuine disagreement over whether the evidence established criminal intent or merely demonstrated shortcomings in policy implementation.
The final turning point came with the verdict itself. The decision was not unanimous. Judge Andi Saputra issued a dissenting opinion, stating that he found no convincing evidence that Nadiem deliberately sought to benefit Google or acted with corrupt intent. In his view, the prosecution had failed to establish the essential criminal elements required under Indonesia's anti-corruption laws and Nadiem should therefore have been acquitted.
Questions over the proceedings were further fueled by what many viewed as an unusual courtroom process. After reading the verdict, the panel of judges immediately adjourned the hearing without giving the defense the customary opportunity to formally state their position on the ruling.
Leaving the courtroom in tears, Nadiem questioned whether justice had truly been served, describing parts of the verdict as conclusions that "didn't make any sense." Referring to the fine and restitution, he argued that it would be impossible to pay the amount within one month, despite the judges being fully aware of his publicly declared assets. Nadiem later confirmed that he and his legal team would immediately challenge the verdict.
Regardless of how the appeal unfolds, the Chromebook saga has become more than a corruption prosecution; it has morphed into a decisive test of legal certainty, judicial process and the threshold for holding public officials criminally liable for policy decisions.
