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 more

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.

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

April 15, 2026

Over the past two weeks, the government has begun overseeing the implementation of Communications and Digital Ministerial Regulation No. 9/2026. The policy reflects a national push to strengthen protections for children, though concerns have emerged regarding its effectiveness and its potential impact on children’s access to information and freedom of expression.

This regulation serves as a technical guideline for Government Regulation No. 17/2025 on child protection in electronic systems, commonly known as PP Tunas. A central provision is the ban on social media use for children under the age of 16, a measure designed to shield minors from online risks such as grooming, abuse, and harmful content.

Communications and Digital Minister Meutya Hafid described these risks as a “digital emergency”, noting that an estimated 70 million Indonesian children under 16 are currently active on social media.

This move aligns with a growing global trend toward social media regulation. Australia was among the first to impose a sweeping ban, passing a law in 2024 that took effect in December 2025. Similar restrictions have emerged in the Indian state of Karnataka and in Brazil, where policies took effect in March 2026. Brazil’s model requires users under 16 to link accounts to a legal guardian and prohibits addictive features like infinite scrolling, while Malaysia and Spain are currently considering similar measures.

In Indonesia, the policy officially took effect on March 28, and platforms were given a three-month window to complete self-assessments and seek classification as low-risk providers. The first phase of the regulation targets eight major platforms: YouTube, Facebook, Instagram, Threads, TikTok, X, Roblox and Bigo Live.

Compliance across these Big Tech corporations has been varied. Bigo Live and X moved quickly to implement age-verification mechanisms and deactivate accounts belonging to users under 16. Meanwhile, Roblox and TikTok have shown partial compliance; Roblox introduced restrictions for users under 13 that limit them to offline play, and TikTok has begun gradually deactivating accounts for those under 16.

However, major technology companies have shown significant reluctance. Representatives from Meta and Google were summoned twice by the ministry, eventually complying with an examination on April 6–7.

Meta argued that parents should decide which applications their teenagers use, warning that government bans might drive youth toward unregulated platforms. Google echoed these concerns, suggesting that age-based restrictions could make children less safe by encouraging them to access content without accounts, thereby bypassing existing parental controls and safety filters.

The debate over parental involvement is rooted in a difficult reality, as digital literacy in Indonesia remains a challenge. The national Digital Literacy Index consistently shows only moderate levels of competence, suggesting that many parents may lack the skills needed to guide their children effectively. Similar enforcement struggles are appearing in the gaming sector, where users of the platform Steam recently reported the introduction of age ratings under the Indonesia Game Rating System.

While this aligns Indonesia with standards in Brazil and Germany, early implementation has been criticized for inconsistency, with some harmless games rated 18+ while adult content was deemed suitable for children.

Beyond these logistical hurdles, there is the critical issue of human rights. Usman Hamid, executive director of Amnesty International Indonesia, warned that the policy risks depriving millions of young people of their rights to communicate, access information and express creativity.

Ultimately, Indonesia faces the challenge of striking a workable balance between protection and control. While the regulation addresses the failure of platforms to safeguard young users, it cannot succeed in a vacuum. Without corporate accountability, greater digital literacy and active parental involvement, enforcement may prove to be either ineffective or easily circumvented.

The success of this policy will depend on how carefully the government navigates the line between safety and the fundamental rights of the digital generation.

Read more
Load more