InfoSAWIT, BOGOR – Indonesian Agriculture Minister Andi Amran Sulaiman has reaffirmed the government's commitment to protecting oil palm smallholders from practices that could undermine their livelihoods, following concerns over declining fresh fruit bunch (FFB) prices earlier this year.
Speaking during the Ministerial and Top Executive Lecture Series held as part of the 25th anniversary celebrations of IPB University's Faculty of Economics and Management, Amran described the previous decline in FFB prices as an anomaly inconsistent with prevailing global market conditions.
The issue emerged during a discussion with students, when IPB Student Executive Board President Abdul Aziz praised the government's progress toward national food self-sufficiency while questioning measures to address volatility in palm oil farmers' incomes.
Responding to the inquiry, Amran highlighted Indonesia's recent agricultural achievements, citing data from Statistics Indonesia (BPS) showing national rice production at approximately 34.6 million tonnes and rice reserves reaching 5.3 million tonnes—the highest level recorded since independence.
"We promised food self-sufficiency within four years, and thankfully we have achieved it sooner. But this success belongs to everyone—from farmers and academics to local governments and the Indonesian people," Amran said.
He added that Indonesia's agricultural sector had recorded its strongest gross domestic product (GDP) growth in a quarter of a century.
However, Amran stressed that government attention extends beyond food crops. The decline in FFB prices had prompted widespread complaints from oil palm farmers across the country.
According to the minister, he received reports about the situation while performing the Hajj pilgrimage in Saudi Arabia, including direct appeals from farmers concerned about falling prices.
"I was in the Holy Land when I received reports regarding declining FFB prices. Shortly afterward, President Prabowo Subianto contacted me and instructed that the issue be resolved immediately because it affected the livelihoods of millions of oil palm farmers," he said.
Amran argued that the market situation at the time did not justify the price decline.
"Global palm oil prices were rising, and the US dollar was strengthening against the rupiah, yet FFB prices were falling. That was an anomaly," he said. "Market mechanisms operate everywhere, but they were clearly not reflected in the prices received by farmers."
Upon returning to Indonesia, Amran initiated cross-sector coordination efforts, including communication with law enforcement authorities to investigate any irregularities within the palm oil trading system.
"I immediately wrote to the National Police Chief. Those playing games must be dealt with firmly. I will not allow farmers to suffer losses. Around 17 million Indonesians depend on this sector," he emphasized.
According to Amran, the government's intervention has begun to yield positive results, with FFB prices gradually recovering.
"Thank God, palm oil prices have started to improve. In some areas, prices have risen by around 80 to 90 percent compared to when we first addressed the issue," he said.
The minister reiterated that the state has a responsibility to safeguard farmers' welfare and pledged continued oversight to ensure a fairer and more transparent palm oil marketing system.
Addressing students at the same event, Amran also encouraged younger generations to contribute to Indonesia's agricultural transformation through innovation, research, and entrepreneurship.
"Never stop trying. If you fail, try again. This nation needs young people who are willing to fight, seek solutions, and help solve the people's problems," he concluded. (T2)
