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Kamis, 25 Juli 2024

Pursuing Sugar Self-Sufficiency in Merauke, Minister of Investment and Downstream Industry Emphasizes the Importance of Involving Local Entrepreneurs

Merauke, July 25, 2024 – President of the Republic of Indonesia Joko Widodo, accompanied by Minister of Investment and Downstream Industry/Chairman of the Investment Coordinating Board (BKPM) Bahlil Lahadalia, conducted the first sugarcane planting as part of the downstreaming project for sugarcane plantations, sugar mills, and bioethanol plants in Kampung Sermayam Indah, Merauke Regency, South Papua Province, on Tuesday afternoon (July 23). The President and his delegation arrived at Mopah Airport, Merauke Regency, after attending the National Children’s Day peak event in Jayapura City earlier that day.

This sugar self-sufficiency project is one of the government’s strategic initiatives to support national food security and increase the production of renewable energy. Spanning an area of 633,763 hectares (ha), the development of Cluster 3 for integrated sugarcane plantations under the National Strategic Project (PSN) is being undertaken by nine business entities.


“Everything has been scientifically evaluated. Looking at the flat terrain and abundant water, I think this is an excellent opportunity to make Indonesia a food barn in Merauke and its surroundings, whether for rice, corn, or sugarcane. Sugarcane and corn can later be used for granulated sugar and bioethanol,” said President Jokowi optimistically.


Minister of Investment and Downstream Industry/Chairman of BKPM Bahlil Lahadalia, as Chairman of the Task Force for Accelerating Sugar and Bioethanol Self-Sufficiency in Merauke, South Papua Province, stated that President Jokowi’s visit demonstrates the government’s serious attention to ensuring the continuation of food and energy security programs in the country.


“The government targets sugar production to reach 3 million tons per year by 2027. What does this mean? Indonesia can meet its own needs, achieving sugar self-sufficiency without relying on other countries,” said Bahlil.


Bahlil also expressed appreciation for the support provided by both provincial and regency governments, enabling the rapid realization of this project. He emphasized the importance of the local government’s role in encouraging the involvement of local entrepreneurs and surrounding communities to ensure they benefit from the region’s economic development.


“I’m pleased to see the progress of this project, which would not have been possible without the support of the Acting Governor (of South Papua Province) and the Regent. We entrust you with ensuring that the local people and entrepreneurs are involved in this project. There must be a symbiotic mutualism between plasma and nucleus. That is crucial!” added Bahlil.


Progress on the field for the preparation of the integrated sugarcane plantation under the National Strategic Project (PSN) in Cluster 3 includes 600 ha of Ready-to-Plant land, 1,500 ha undergoing land clearing, and the construction of road infrastructure and mechanization. PT Global Papua Abadi, one of the business entities in the area, is collaborating with the Indonesian Sugarcane Plantation Research Center (P3GI) and Sugar Research Australia (SRA) to provide superior seeds domestically. The total planned investment for the integrated sugarcane plantation PSN in Cluster 3 in Merauke, South Papua, amounts to USD 5.62 billion (IDR 83.27 trillion).


For further information, please contact:

Leidy Novanda

Senior Public Relations Officer

Ministry of Investment and Downstream Industry/BKPM

E-mail: humas@bkpm.go.id

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