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SUCOFINDO Highlights Two Strategic Issues for Indonesia, Including Prabowo's Programs

| Source: CNBC Translated from Indonesian | Economy
SUCOFINDO Highlights Two Strategic Issues for Indonesia, Including Prabowo's Programs
Image: CNBC

The state-owned enterprise (SOE) operating in the survey sector, PT SUCOFINDO (PERSERO), is pushing for the strengthening of innovation to provide a broader impact on business sustainability and community resilience. Two strategic issues identified as primary focuses this year are the development of the carbon market and the reinforcement of food supply chain resilience.

Bonn Choi, a Senior Researcher at the Korea Research Institute on Climate Change (KRIC), stated that the implementation of Article 6 of the Paris Agreement opens opportunities for developing carbon market mechanisms as an effective instrument for emission reduction. In a presentation titled “Operationalising Article 6 of the Paris Agreement: Carbon Market Mechanisms and Lessons from Northeast Asia for ASEAN’s Sustainable Business Transitions”, Bonn explained that investment in innovative technologies and low-emission facilities can generate economically valuable greenhouse gas emission reductions through carbon market mechanisms in accordance with applicable regulations.

“Emission reduction can provide two main benefits: supporting the achievement of Nationally Determined Contribution (NDC) targets and simultaneously opening new revenue opportunities through carbon trading transactions,” Bonn noted, as quoted on Monday.

According to him, Indonesia possesses great potential in developing emission reduction projects across various sectors, ranging from energy, household energy efficiency, waste management, and sustainable agriculture to forestry and Carbon Capture and Storage/Carbon Capture, Utilisation and Storage (CCS/CCUS) technology. Therefore, the acceleration of the carbon market needs to be supported by identifying priority sectors, strengthening regulations, and integrating various emission reduction sources into the Emissions Trading System (ETS).

“By identifying priority sectors, Indonesia can direct carbon investments in a measurable manner towards projects that have real environmental impacts, tangible economic benefits, and a greater contribution to development,” he explained.

In addition to the carbon market, there is also a push for attention towards food supply chain resilience as a foundation for national security. Ridky Irfan Wirautama, Assistant Deputy for Food Logistics at the Coordinating Ministry for Food of the Republic of An Indonesia, stated that the agriculture and food sectors are a government priority. However, food security faces multidimensional challenges, ranging from climate change, global economic dynamics, and food price volatility to natural disasters, logistics infrastructure readiness, and the depletion of productive land.

“Amidst these various challenges, innovation serves as a key solution. The transformation of waste management, including converting waste into electricity, demonstrates how environmental issues can be repurposed into economic value sources and part of the energy solution,” said Ridky.

The government is also continuing to expand the application of a circular food economy and mitigate the impacts of extreme climate phenomena. In terms of maritime logistics, the development of green and smart ports is being promoted by combining digitalisation, modern governance, the ‘ASRI’ (Clean, Healthy, Neat, and Beautiful) culture, and the 3R (reduce, reuse, recycle) principles.

The development of the blue economy also serves as a pillar for strengthening food security while opening new economic growth sources for coastal areas through the fulfilment of protein food needs, job creation, and investment opportunities.

“In 2026, the Red and White Fisherman’s Village (Kampung Nelayan Merah Putih - KNMP) is designated as one of the new economic growth centres in coastal areas, integrating the value chain from upstream to downstream, including production, processing, cooling and storage facilities, and market distribution networks,” said Ridky.

Ridky emphasised that strengthening food security requires cross-sector collaboration and policy alignment to ensure that the supply chain and logistics of food commodities can operate effectively and reach all regions of Indonesia, which is also one of President Prabowo Subianto’s priority programmes.

“Through collaboration and the alignment of cross-sector food policy directions, we can ensure smoothness while strengthening the supply chain and logistics of food commodities so they can reach all parts of Indonesia,” Ridky concluded.

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