In Line with President Prabowo's Directives, Agriculture Minister Amran Accelerates Agricultural Downstreaming

The Ministry of Agriculture is accelerating the downstreaming of the agricultural sector as part of the national economic transformation. Agriculture Minister Andi Amran Sulaiman stressed that this step aligns with President Prabowo Subianto’s vision, which positions downstreaming as the key to creating quality jobs. “Downstreaming is an inevitability. We can no longer export raw materials. Agricultural commodities must be processed domestically so that the added value benefits the Indonesian people, especially farmers,” said Minister Amran on Friday (20/3/2026). He explained that previously, some Indonesian agricultural commodities were sold as raw materials, allowing processing countries to capture the largest profit margins. Therefore, this paradigm must be changed through structured and integrated downstreaming from upstream to downstream. “Today, we are changing the paradigm. Farmers should not just sell their harvests but must enter the industrial chain. We are building from upstream to downstream so that added value increases and farmers’ welfare is uplifted,” he stated. Referring to President Prabowo’s directives emphasising industrialisation based on natural resources, Minister Amran assessed that the agricultural sector holds a strategic position as the foundation of national downstreaming. He highlighted the industrial tree concept as an approach to developing agricultural commodities. “Each commodity has many derivatives. Coconut can become dozens of products, cocoa into various processed goods, cassava into flour to bioethanol. This is what we call the industrial tree,” he explained. As a concrete step, the Ministry of Agriculture is implementing a plantation downstreaming programme with a budget allocation of around Rp 9.5 trillion for developing seven strategic commodities, targeting 870,000 hectares of community plantations in the 2025-2027 period. The programme focuses on commodities such as coconut, cocoa, coffee, cashew, pepper, and nutmeg, as efforts to strengthen raw material availability while encouraging the growth of domestic processing industries. “We are designing downstreaming through replanting and new planting in these various commodities. With this strengthening, we are optimistic about creating jobs and increasing the added value of agricultural products,” clarified Minister Amran. Minister Amran emphasised that downstreaming not only increases added value but also serves as a driver of village economies. “If processing industries are built in production centres, then jobs are created in villages. Young people do not just farm but can also enter processing industries, marketing, and exports. This is the future of our agriculture,” he said. He also highlighted the vast potential of Indonesia’s flagship commodities that have not yet been optimised through downstreaming. “We have the world’s best raw materials, but finished products are dominated by other countries. This is what we must change. Downstreaming will ensure Indonesia is not just a raw material supplier but also a producer of high-value products,” he asserted. Minister Amran affirmed the Ministry of Agriculture’s commitment to driving agricultural sector downstreaming. “We are ready to implement the President’s directives. Downstreaming must be accelerated and monitored. This is not just about the economy but also sovereignty and the nation’s future,” he stated.