Indef: Rice Export Plan to Singapore an Opportunity to Absorb Indonesia's Surplus

The Executive Director of the Institute for Development of Economics and Finance (Indef), Esther Sri Astuti, assessed that the plan to export rice to Singapore presents an opportunity to absorb the domestic production surplus while strengthening food cooperation and supply security for both countries. According to Esther, the prospect of food cooperation between Indonesia and Singapore is highly strategic because it provides benefits for both nations through strengthened trade, supply security, and the utilisation of national production surpluses. “The prospect of food cooperation between Indonesia and Singapore is very strategic and promising. For Indonesia, this is the right solution to absorb the domestic production surplus,” Esther said when contacted in Jakarta on Thursday. Esther’s statement was made in response to the government’s plan, through Minister of Agriculture Andi Amran Sulaiman, to offer rice exports to the Singaporean government. Nevertheless, Esther cautioned that Indonesia needs to prepare a well-thought-out export strategy considering price competition in the international market, global oversupply, and high demands for rice quality. She explained that the majority of the government’s rice stock is still medium-grade, whereas certain export markets tend to require premium rice, making quality improvement a crucial step to strengthen national competitiveness. Esther also assessed that the current achievement of self-sufficiency is positive progress, although it remains focused on the rice commodity and needs to be expanded towards self-reliance in soybeans, feed corn, and beef.