Giant Project in Industrial-Based Agriculture Development
- The government plans to develop a new food barn by utilizing an integrated food estate concept in the location previously used as a Peatland Development Project, or PLG, - a failed Soeharto-era agricultural project. Based on information obtained by D-Insights, the development covers 770,000 hectares of land.
- President Joko Widodo appointed Defense Minister Prabowo Subianto as the person in charge of food estate, supported by other ministries such as the Ministry of Agriculture, the Ministry of SOE, and the Ministry of Public Works and Public Housing. The significant role of the military is associated with the interests of securing large projects and political deals.
- Meanwhile, the government is seeking to develop 165,000 hectares of land, consisting of existing agricultural land and extensification. In the initial and trial stages, the top food SOE PT Rajawali Nusantara Indonesia will work on the intensification of the 30,000 existing lands starting September/October this year.
- The government is designing an investment scheme to attract large private companies. Several companies are reportedly interested, including the Salim Group. Meanwhile, Medco Energy, which is working on a food estate pilot project in Merauke, Papua, is reportedly still wanting to focus on the location.