Indonesian Political, Business & Finance News

Agriculture Minister announces budget ceiling for Ministry of Agriculture to reach Rp28.02 trillion in 2027

| Source: ANTARA_ID Translated from Indonesian | Agriculture
Agriculture Minister announces budget ceiling for Ministry of Agriculture to reach Rp28.02 trillion in 2027
Image: ANTARA_ID

The budget ceiling for the Ministry of Agriculture has been set to increase from Rp23.23 trillion to Rp28.02 trillion.

Jakarta (ANTARA) - The Minister of Agriculture, Andi Amran Sulaiman, stated that the Ministry of Agriculture’s budget ceiling for 2027 will rise to Rp28.02 trillion to strengthen strategic food programmes, downstreaming, and national agricultural development.

“Based on the joint letter from the Minister of National Development Planning/Head of Bappenas and the Minister of Finance dated 5 August 2026 regarding the Budget Ceiling for Ministry/Agency Expenditure and Special Allocation Funds for the 2027 Fiscal Year, the budget ceiling for the Ministry of Agriculture has been set to increase from Rp23.2ly trillion to Rp28.02 trillion,” the Minister said during a Working Meeting with Commission IV of the House of Representatives (DPR RI) in Jakarta on Tuesday.

The budget increase is aimed at supporting various national priority programmes, particularly strengthening food production, developing strategic commodities, and ensuring the sustainability of the food self-sufficiency programmes already achieved by the government.

From the total ceiling of Rp28.02 trillion, the Ministry of Agriculture has allocated Rp9.8 trillion to meet mandatory basic budget requirements and Rp18.22 trillion to support the National Priority Work Programme (PKPN) in the agricultural sector.

The funding sources for this budget consist of several components, namely State Revenue (Rupiah Murni) of Rp26 trillion, Non-Tax State Revenue (PNBP) of Rp93 billion, Public Service Agency (BLU) funds of Rp85 billion, Foreign Loans (PLN) of Rp1.17 trillion, and State Sharia Securities (SBSN) of Rp195 billion.

The 2027 budget allocation for the Ministry of Agriculture will focus on supporting the development of paddy commodities, accelerating garlic self-sufficiency, increasing chilli production, and strengthening shallot commodities.

In addition to the food crop and horticulture sectors, the government is also paying attention to plantation downstreaming, with an allocation of Rp2.3 trillion to increase the added value of national agricultural products.

The livestock sector has received a budget support of Rp798 billion to strengthen the production of meat, milk, and eggs, while simultaneously meeting the public’s protein needs sustainably.

The Ministry of Agriculture has also allocated Rp973 billion for agricultural extension and education to ensure that the capacity of agricultural human resources increases through the strengthening of knowledge and skills.

In the budget breakdown, the Directorate General of Food Crops received an allocation of Rp4 trillion, the Agency for Agricultural Extension and Human Resources Development received Rp4.32 trillion, and the Secretariat General received Rp3.7 trillion.

The government has also proposed an additional expenditure budget of Rp5 trillion to the Minister of Finance to accelerate the development of strategic plantation commodities such as coconut, coffee, cocoa, sugarcane, pepper, nutmeg, and cashew.

The proposed additional budget also includes the procurement of 1,250 tractor units for the sugarcane commodity, as well as support for physical Special Allocation Funds in the agricultural sub-sector amounting to Rp111 billion for priority regions.

Through this budget strengthening, the Ministry of Agriculture is optimistic that agricultural development will become more productive, capable of increasing farmer welfare, strengthening import substitution, and enhancing national export competitiveness.

View JSON | Print