Monday, 14 March 2022 12:10

Erick Thohir Encourages Local Governments to Make Privates Build Agricultural Ecosystems

Minister of SOEs Erick Thohir encourages the importance of SOEs together with stakeholders such as local governments, professionals and the private sector to build an agricultural ecosystem. "We have natural resources, there are farmers, banks, and also markets. If we don't have a connected ecosystem, each one will stand alone," said Erick Thohir after attending a seminar in Jakarta, Saturday. The Minister of State-Owned Enterprises gave an example of Indonesia, which is rich in coffee products. This is true, but the process of making and processing coffee is inferior to that of other countries when Indonesian farmers are trapped by loan sharks and forced to pursue payments by picking coffee beans that are not ripe enough, and the drying process is not good.

This, he continued, made the quality of the coffee less good, and the coffee product never stood alone. In fact, Indonesia is the fourth largest coffee producer in the world, and almost 50% of Indonesian coffee production has been absorbed by the domestic market. If you look at the current joint policy, for example, prioritizing coffee shops, where a percentage of the franchise must be Indonesian, finally with coffee produced by quality coffee shops that are loved and owned by Indonesian millennials, then this can improve the quality of commodities. coffee produced by farmers. "This means that when Indonesia can absorb its own coffee market with good quality, in the end the coffee market at the global level for Indonesian coffee products will not fall in price," said Erick Thohir. Another thing that needs to be considered in increasing Indonesian coffee domestically and globally is what if the farmers experience crop failure, the BUMN will prepare insurance to anticipate crop failure. In addition, Himbara banks also prepare funding for farmers. The fertilization process must also be timely. Thus, in building the ecosystem, SOEs cannot stand alone, considering that SOEs are corporations, so they need to collaborate with local governments and various other parties. "That's why we are trying to build an ecosystem together," said Erick Thohir.

This year, Indonesia is serving as the Presidency of the G20 Summit with the theme Recover Together, Recover Stronger. Based on Appendix II concerning the Agenda Matrix of the 2022 Indonesian G20 Presidency Sherpa Track Working Group in the Decree of the Coordinating Minister for Economic Affairs of the Republic of Indonesia Number 27 of 2022 concerning Membership Structure and the Agenda Matrix of the 2022 Indonesia G20 Presidency Sherpa Track Working Group, it is stated that a number of priority agendas are carried out in in the field of agriculture, namely Building a strong and sustainable food and agriculture system.
Then promote open, transparent and predictable agricultural trade in order to increase productivity. Then Innovative Agri-Preneurial through digital agriculture to improve the welfare of farmers in rural areas.

Source: https://m.antaranews.com/berita/2756129/erick-thohir-dorong-pemda-hingga-swasta-bangun-ekosistem-agrikultur

 

 

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