Minister of Agriculture Andi Amran Sulaiman on Monday, July 7, 2025 proposed raising the ministry’s 2026 budget from the indicative ceiling of Rp13.75 trillion (US$859 million) to Rp44.64 trillion (US$2.79 billion). 

The proposal was delivered during a hearing with Commission IV of the House of Representatives (DPR) in response to urgent needs for food self-sufficiency and strategic plantations development.

“We have sent letters to the Minister of Finance and the Minister of National Development Planning proposing a revised budget of Rp44.64 trillion. The current allocation of Rp13.75 trillion is insufficient − just paying for agricultural extension officers (PPL) alone already costs around Rp5 trillion,” Amran told the hearing.

Chairwoman of Commission IV, Titiek Soeharto, noted that the current indicative budget is far too small given the magnitude of agricultural goals set by the government.

“We are surprised by the low allocation. If the ministry needs more, just let us know. Commission IV is ready to fight for a budget increase,” she said.

The additional funds would be allocated toward seedling and planting of strategic commodities such as cocoa, nutmeg, coffee, cashew, sugarcane, and coconut. Amran stressed that by starting the seedling process this year, planting can begin next year, helping reduce dependence on imports and saving the country trillions of rupiah.

The government is also expediting the new credit scheme for sugarcane farmers. A revised KUR (People’s Business Credit) system, approved in a limited cabinet meeting on July 3, 2025, increases the loan ceiling for sugarcane farmers to Rp500 million (US$31,250) per farmer − non-cumulative and without transitioning to commercial credit − aimed at addressing the national sugar deficit of 5.6 million tons.

The Ministry of Agriculture has set ambitious targets for 2026 agricultural production, including:

• Rice: 33.8 million tons
• Corn: 22.7 million tons
• Soybeans: 343,000 tons
• Chili peppers: 3 million tons
• Shallots: 2 million tons
• Beef and buffalo meat: 514,000 tons
• Chicken meat: 4.3 million tons

The current indicative budget of Rp13.75 trillion, includes Rp1.64 trillion in operational spending, Rp0.89 trillion in non-operational expenses, and Rp10 trillion for developing 150,000 hectares of new rice fields. However, the minister said that this allocation is basic and does not yet cover the broader strategic needs of food production and national food security.

During the meeting, the minister also announced that Indonesia, under President Prabowo’s directive, had delivered 10,000 tons of rice as humanitarian aid to Palestine, reflecting Indonesia’s solidarity and logistical readiness in food distribution.