"In the past, our money was used to enrich other countries through imports. Now, the same money circulates among our own farmers. This is what drives the regional economy," Sudaryono said in a statement here on Tuesday.
He emphasized this during the National Conference on Regional Economic Development themed "Acceleration of Regional Economic Growth through Cross-Sectoral Policy Synergy."
Indonesia previously relied on food imports, especially rice, which reached around 3 million tons in 2023 and increased to around 4 million tons in 2024.
However, in line with increasing domestic production, the government decided to completely close the tap on rice imports throughout 2025 as part of efforts to strengthen national food self-sufficiency and security.
The Agriculture Ministry informed that the government's rice reserve stock managed by state logistics agency Bulog reached 5.3 million tons by the third week of May 2026. This stock is considered the highest in history.
Sudaryono emphasized that the agricultural sector has now become one of the main engines of regional economic growth, following the government's success in increasing national food production and reducing the import of various strategic commodities.
He mentioned that the policy of increasing food production and reducing imports has a direct impact on the economic circulation of rural communities.
According to him, the agricultural sector has a very broad economic multiplier effect because it directly absorbs labor, opens new business opportunities, and increases the economic activities of people in villages.
"This means there are new jobs. People who were previously powerless become empowered because production has increased," Sudaryono stated.
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Translator: Harianto, Kenzu
Editor: Azis Kurmala
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