The government will speed up the sugar self-sufficiency target by 2030. The target is outlined in Presidential Regulation No. 40 of 2023 concerning the Acceleration of National Sugar Self-Sufficiency and the Provision of Bioethanol as Biofuel.
In Presidential Regulation 40 of 2023, it is explained that self-sufficiency for consumption needs can be realized no later than 2028. Then self-sufficiency in sugar for industrial needs is to be realized no later than 2030. In the same year, Indonesia is also targeted to increase bioethanol production.
Agriculture Minister Amran Sulaiman explained that Papua would become the centre of production and the location of large sugar factories in Indonesia. The government, he said, would prepare more than 1 million hectares of land for the development of sugarcane farming as well as the construction of sugar factories.
“The plan is for it to be in Papua. We will prepare approximately 1 million hectares of land later for domestic and foreign investors interested in building sugar factories in Indonesia,” said Amran after attending a limited meeting with President Joko Widodo about the sugar self-sufficiency strategy at the State Palace, Central Jakarta, Tuesday (12/12/2023).
Amran said that there are already investors from within and outside the country who are interested in working on this project. In fact, he claims that there are investors who have already started planting sugarcane. However, when it was confirmed who and how many were interested, he was hesitant to answer.
If self-sufficiency can be achieved, Amran said Indonesia could become a sugar exporter or achieve energy self-sufficiency with bioethanol production.
“Once sugar self-sufficiency has been achieved, even exports, maybe we’ll have ethanol synergy with Pertamina. God willing, in the near future we will start planting sugarcane seedlings in Papua, “said Amran.
According to him, in order for Indonesia to be self-sufficient in sugar, it must be able to build 20-30 sugar factories. “We have to build maybe 20 to 30 units of sugar factories with a capacity of 12,000 TCD to be self-sufficient,” he said.
Bioethanol’s Long Road
Regarding the plan to produce bioethanol, Amran said that Indonesia appears to still need a lot of time. The government itself is currently focusing on pursuing the sugar self-sufficiency target first before starting bioethanol production.
“We need self-sufficiency in sugar first, if it has been fulfilled, then we will make ethanol,” explained Amran.
According to him, the sugarcane planting cycle itself is also long. Therefore, to build a sugar factory to pursue the target of self-sufficiency also takes a long time. Therefore, it is likely that bioethanol production is still long.
“Sugarcane is an annual crop, and in our experience, building a sugar factory takes us 2.5 to 3 years,” Amran. said.
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