Food security in Indonesia: Policy & Practice Local empires evolved on the basis of fertile rice lands and trading locations; Rice trade and storage

Transcription

1 Food security in Indonesia: Policy & Practice Local empires evolved on the basis of fertile rice lands and trading locations; Rice trade and storage have been important from the earliest time known; VOC traded in rice, supplying rice short areas in their Asian Trade rounds; Around end 18 th century the Lumbung Desa was already in existence; likely much earlier it was already there. It was more or less formalized under colonial rule. The introduction of maize, cassava and sweet potato from Latin America created another important source of food, since the 1600s; These ubi and palawija made the conversion of forest into coffee, tea and rubber plantations possible in Java, because it fed labour;

2 The first food policy came into being after 1914 the outbreak of the First World war and trade blockades; The initial response was the closure of the district borders, resulting in local famines; The problem solving response was to identify food-short areas and food-surplus areas, and to arrange supplies, through Gov purchase and private distribution at market price; Under Scheltema a very modern statistical measurement system was set up, providing advance information on expected production, on the basis of area planted, yield estimations, area failed, and area harvested. This system is still in use by the National Statistical Bureau. Under De Vries larger rice & food short and surplus areas were dinguished, with flows of trade reaching into other rice surplus areas in SE Asia; In SE Asia Indonesia is the only consumer area south of the equator, which means that at the end of the dry season the harvest north of the equator is already in; regional trade is the logical supply solution. Of total food consumer requirements, rice provides 50% and secondary crops 50 %. This has been constant for a 100% years.

3 In El Nino years the proportion of secondary crops increases; these crops provide the real security part. If we count fruits, vegetables, livestock and fish the non rice food security proportion is much higher. Under the New Order regime a national rice procurement and distribution system was set up, for items such as beef, wheat flour, soybean, and sugar a quota and licensed import system was set up. This is still in place. It may be an outdated system. Food security in Indonesia was always a function of trade and trade regimes. This is still the case. Distribution prices are set in line with current market prices, and distribution is through the private sector and public channels. Since the introduction of high productivity, short duration and fertilizer responsive varieties supply became more pronounced multiseasonal, and Indonesia had a glimpse of near rice-sufficiency in the late 1980s. Per capita rice consumption in Indonesia is still the highest in the world at some 160 kg / capita / annum. Indonesia is now the world biggest importer of wheat, at 6,5 million MT in 2013, or 20 kg per capita per annum.

4 CONCLUSIONS: 1. The current trend in main staple consumption is towards a multi-staple based diet. 2. Perhaps Indonesian consumers experience late exposure to new staples such as wheat products, noodles and potato products, which would explain the sofar persistent high rice consumption and the many dysfunctional health consequences of the changing urban diets. 3. Trade and trade structure especially are the basis for food security in Indonesia s urban conglomerates. 4. However, Indonesia s own farm production will continue to be the national basis for food security. Hybrid rice is ready to come in. 5. Issues of food safety, certification will become increasingly important with the longer supply chains.

5 CONCLUSIONS cntd: 6. Rice for the poor was the contribution of Megawati s cabinet to the poor. Local public servants still receive part of their salary in the form of rice. 7. El Nino induced supply shortages may in combination with country responses, lead to price spikes, such in 2007/2008. Rice is vulnerable to climate change. This risk will increase. Impact is around 1.5% of national production. 8. Free trade is no answer. The solution of the 2007/8 price spike was due to three fast footed individuals who lined up an announcement from Japan that it would release its rice stocks in the world market, bringing the rice price down from a crazy 1500 US to acceptable levels. 9. Food policy, food security and policy practice in Indonesia predate academic literature by more then 50 years. Literature has ballooned, Indonesia s food security policy is still the same.