Indonesia Set to Export Rice as Government Stockpiles Hit Record High

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JAKARTA, investortrust.id — Indonesia has reached a major agricultural milestone, with national rice reserves surpassing 4 million tons for the first time in history—marking a critical step toward becoming a rice-exporting nation.

Agriculture Minister Andi Amran Sulaiman said the record-breaking stockpile proves the government’s commitment to achieving food sovereignty. It also highlights the success of the Ministry of Agriculture’s productivity programs in supporting farmers across the country.

“Indonesia has moved beyond self-sufficiency. This is food sovereignty in action,” Amran said on Friday, June 13. “Our rice surplus is a clear sign of resilience and shows that we’re ready to play a greater role in the global food system.”

According to data from the Ministry of Finance, rice reserves managed by the state logistics agency, Perum Bulog, stood at more than 4 million tons as of May 15, 2025.

Diplomatic Shift and Regional Impact

Indonesia’s surplus comes at a time when many nations are grappling with food insecurity. Amran emphasized that while other countries face production declines, Indonesia is expanding both its output and stock levels. This, he argued, positions the country to influence regional and global food markets more actively.

The breakthrough was welcomed by Indonesian Ambassador to Vietnam Denny Abdi, who recalled that just last year, the government had explored rice imports from Vietnam. The surplus, he said, marks a sharp turnaround.

“I was surprised when the minister told me we now have a 4-million-ton surplus—our largest in history and achieved in such a short time,” Denny said. “Diplomatically, it’s transformative. Instead of helping arrange imports, we’re now looking at export opportunities.”

While the shift may affect Vietnamese exporters, Denny noted that Indonesia-Vietnam ties remain strong, with opportunities for broader collaboration in agricultural and food security efforts.

“Vietnamese companies may lose some market share, but global food demand remains high,” he said. “As agricultural countries, both Indonesia and Vietnam carry a moral responsibility to contribute to global food resilience.”

Spotlight on Dairy Deficit

In addition to rice, Denny raised concerns over Indonesia’s reliance on imported dairy. Currently, 80% of the country’s milk needs are met through imports. The government is now working to attract large-scale investments in domestic fresh milk production, with land allocation and policy support from the Ministry of Agriculture.

“Milk is essential for children between ages 2 and 12. This ties into President Prabowo Subianto’s national nutrition program,” Denny said. “We must develop our own production systems to reduce dependency on imports and protect our foreign reserves.”

He added that the Ministry of Foreign Affairs is prepared to back agricultural downstreaming efforts, encouraging value-added processing in the farming sector to ensure Indonesian agriculture remains globally competitive.

USDA Acknowledges Indonesia’s Rise

Indonesia’s agricultural gains have not gone unnoticed. The United States Department of Agriculture (USDA) recently projected Indonesia’s 2024/2025 rice production at 34.6 million tons—exceeding the government’s target of 32 million tons and making it the top producer in Southeast Asia, ahead of Thailand and Vietnam.

Minister Amran said the surge in rice output is helping to drive broader economic growth. According to Statistics Indonesia (BPS), the agricultural sector contributed 10.52% to GDP in the first quarter of 2025—its highest share on record.

“These achievements confirm that our policies to boost domestic production are working,” Amran said. “We’re confident in our ability to secure food self-sufficiency and take real steps toward national food sovereignty.”