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Indonesia
Agriculture plays a crucial role in the Philippine economy, providing livelihoods for millions while facing challenges such as food security, climate vulnerability, and production inefficiencies.
Background
Geographic Profile
Agricultural Land Area (2022)
Demographic Profile
Economic Profile
Trade Profile
Sqm land area
Contribution of agriculture
% of labor force in agriculture
Indonesia is the world’s fourth most populous nation and third largest democracy, consisting of over 17,000 islands and located strategically between the Indian Ocean and the China Sea. With a population exceeding 245 million, it is rich in natural resources and vital for regional stability. The country’s democratic transition began in 1998, marked by free elections and a peaceful transfer of power with President Susilo Bambang Yudhoyono in 2004. Since then, Indonesia has shown democratic growth, economic stability, and professional reform under President Joko Widodo, who was elected in 2014. Notably, Indonesia has the largest Muslim population globally but does not have Islam as its state religion, showcasing the compatibility of democracy and Islam.
Indonesia’s climate is shaped by its island geography and equatorial location, leading to high, consistent temperatures. Coastal areas are warmer (mid-70s to upper 80s °F), while mountainous regions are cooler. Rainfall is abundant, especially from December to March, with mountainous areas like Sumatra and New Guinea receiving over 120 inches annually. Weather patterns are influenced by monsoonal winds, resulting in a dry season in eastern Java and the Lesser Sunda Islands. The west monsoon brings heavy rains from December to February, while the east monsoon causes drier conditions from June to August. Afternoon thunderstorms are common, but strong cyclones are rare.
In 2023, the agricultural sector in Indonesia employed over 38 million people, making up 27.52% of the total workforce and positioning agriculture as the largest employment sector in the country. This significant contribution highlights the potential for growth and innovation within the industry. To address current challenges, such as an aging workforce, there is a vital opportunity to engage and attract younger generations. By implementing strategies that appeal to youth, the sector can foster a more dynamic and sustainable future.
Agricultural Products
Indonesia plays a vital role in global agriculture, showcasing its strength through substantial production of palm oil, rice, rubber, coffee, cocoa, and spices. As the world’s leading producer of palm oil and a significant contributor to natural rubber, the country has the potential to further enhance its agricultural sector. Furthermore, Indonesia’s diverse range of food crops, including rice, corn, and cassava, along with its plentiful selection of fruits, vegetables, and livestock, presents numerous opportunities for growth and development in the agricultural landscape.
Natural Resources
Indonesia is richly endowed with natural resources, featuring impressive deposits of essential minerals such as nickel, copper, gold, tin, and coal. The country is also a leading producer and exporter of a variety of commodities, including palm oil, rubber, timber, and coffee, which significantly contribute to its economy. Additionally, Indonesia possesses considerable potential for renewable energy, particularly in geothermal resources, which can be harnessed to support sustainable development and reduce reliance on fossil fuels.
In 2023, Indonesia ranked as follows in the Economic Complexity Index: 65th out of 132 for trade, 63rd out of 96 for technology, and 42nd out of 137 for research.
Top Imported Products (2023) [7]
Top Import Partners (2023)
Agricultural Imports (2023 )
Top Exported Products (2023)
Top Export Partners (2023)
Agricultural Exports (2023)
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