Agricultural policies in Indonesia
AbstractAs in many other developing countries, the concerns about food security in Indonesia during the 1980s and early 1990s resulted in policies aimed at achieving self-sufficiency in food crops. The Government of Indonesia (GOI) combined price interventions and economic incentives to encourage agricultural production, especially of the staple crops. From 1985 to 1998, Indonesia started a series of domestic and trade reforms emanating from a combination of unilateral undertakings, the country's commitments to the WTO, and the government's agreement with the IMF following the 1997/98 financial crisis. This study computes nominal protection rates and producer support estimates (NPR and PSE) for Indonesia for the period 1985-2003 for six agricultural commodities, rice, maize, sugar, soybeans, crude palm oil, and natural rubber (representing more than two-thirds of Indonesian agricultural output) in an attempt to quantify the net effects of these policies. The NPRs and PSEs computed for Indonesia show that in spite of the reforms, the GOI has protected its agriculture over the past twenty years, although not uniformly across commodities. Although the reforms went a long way in reducing trade and domestic regulations on agricultural products, the study results demonstrate a return to protection for some commodities in recent years.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by International Food Policy Research Institute (IFPRI) in its series MTID discussion papers with number 78.
Date of creation: 2004
Date of revision:
This paper has been announced in the following NEP Reports:
- NEP-AGR-2005-02-13 (Agricultural Economics)
- NEP-ALL-2005-02-13 (All new papers)
- NEP-SEA-2005-02-13 (South East Asia)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Barbier, Edward B., 1989. "Cash crops, food crops, and sustainability: The case of Indonesia," World Development, Elsevier, vol. 17(6), pages 879-895, June.
- Barichello, Richard R., 2000. "Impact Of The Asian Crisis On Trade Flows: A Focus On Indonesia And Agriculture," Policy Harmonization and Adjustment in the North American Agricultural and Food Industry; Proceedings of the 5th Agricultural and Food Policy - 1999 16797, Farm Foundation, Agricultural and Food Policy Systems Information Workshops.
- Gonzales, Leonardo A. & Kasryno, Faisal & Perez, Nicostrato D. & Rosegrant, Mark W., 1993. "Economic incentives and comparative advantage in Indonesian food crop production:," Research reports 93, International Food Policy Research Institute (IFPRI).
- Mohamad F. Hasan & Michael R. Reed & Mary A. Marchant, 2001. "Effects of an Export Tax on Competitiveness: The Case of the Indonesian Palm Oil Industry," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 26(2), pages 77-90, December.
- Hill,Hal, 2000. "The Indonesian Economy," Cambridge Books, Cambridge University Press, number 9780521663670, October.
- Gulati, Ashok & Narayanan, Sudha, 2003. "The Subsidy Syndrome in Indian Agriculture," OUP Catalogue, Oxford University Press, number 9780195662061.
- Nguyen, Hoa & Grote, Ulrike, 2004. "Agricultural policies in Vietnam," MTID discussion papers 79, International Food Policy Research Institute (IFPRI).
- Allan N. Rae, 2007. "Regional agricultural trade liberalization - Priorities for policy makers and future research needs," STUDIES IN TRADE AND INVESTMENT, in: Studies in Trade and Investment - AGRICULTURAL TRADE - PLANTING THE SEEDS OF REGIONAL LIBERALIZATION IN ASIA, volume 60, pages 295-309 United Nations Economic and Social Commission for Asia and the Pacific (ESCAP).
- Rakotoarisoa, Manitra A., 2008. "The Impact of Agricultural Policy Distortions on the Productivity Gap: Evidence from the Rice Production," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6154, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
- Cheng, Fuzhi & Orden, David, 2005. "Exchange rate misalignment and its effects on agricultural producer support estimates," MTID discussion papers 81, International Food Policy Research Institute (IFPRI).
- Mullen, Kathleen & Sun, Dongsheng & Thomas, Marcelle & Orden, David & Gulati, Ashok, 2004. "Agricultural Policy Interventions In Developing Countries: Mapping The Nature, Degree And Progress Of Reforms," 2004 Annual meeting, August 1-4, Denver, CO 20081, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().
If references are entirely missing, you can add them using this form.