Increasing Sugar Production in Indonesia Through Land Suitability Analysis and Sugar Mill Restructuring

Abstract

Indonesia is the fourth most populated country in the world with an annual population growth rate of 1.3%. This growth is accompanied by an increase in sugar consumption, which is occurring at an annual rate of 4.3%. The huge demand for sugar has created a large gap between sugar production and demand. Indonesia became the world’s largest sugar importer in 2017–2018. Sugarcane farmers have an important role in sugar production. They are facing problems with declining sugarcane productivity and arable land decreasing. We aimed to understand the sugar production issue in Indonesia and to examine options to increase sugar production. To achieve these aims, a framework consisting of four steps was developed: Analysis of the current situation; problems identification; resolution; and delivering programs; and strategies. The main problems in sugar production in Indonesia were identified, including a stagnation in sugarcane harvest area, low sugarcane productivity, lack of good varieties, and inefficient sugar mills. Based on the identified problems, strategies to increase production were created. Two approaches need to be executed simultaneously: An increase in sugarcane planting area, and an increase in productivity and sugar yield. The first approach in increasing sugar production is the exploration of new sugarcane planting areas outside of Java both on existing agricultural land and in new areas. A land suitability analysis for the whole country was conducted based on a semi-detailed soil map. The main priority for development was the existing agricultural area via an integration system or existing crop exchange. The second approach is restructuring sugar factories through the revitalization of existing sugar mills and investment in the construction of new mills. The challenges that need to be addressed include land availability, provision of high-yielding varieties, and improving the efficiency of sugar mills. General strategies and medium-term programs are presented and discussed. These efforts, if well-executed, will boost Indonesia’s sugar production to meet its domestic demand by 2025, achieving competitiveness in the world market by 2045.

Agronomic Performance and Economic Benefits of Sugarcane (Saccharum officinarum L.) Under Drip Irrigation for Sandy and Clay Soils in East Java, Indonesia

“…Sugarcane (Saccharum officinarum L.) is one of Indonesia's strategic estate commodities. It is not merely the primary sugar producer but also the national economy booster (Sulaiman et al 2019). Sugarcane production in the country fluctuates over the decades, but the trend is decreasing (Putra et al 2013; Indonesian Directorate General of Estate Crops 2016; Indonesian Ministry of Agriculture 2020).…”

Decision Support System for Determining Mini Sugar Mill Location in Madura

“…Developing Madura sugarcane industry and building mini sugar mills in Madura are the right things to do, regarding the availability of its land area. As has been explained by (Sulaiman et al, 2019), some sugar factories in Indonesia are no longer efficient. Therefore, they need to be Copyright © 2019 Universitas Sebelas Maret revitalized or we need to build new factories.…”

Using Global Climate Indices to Predict Rainfall and Sugarcane Productivity in Drylands of Banyuwangi, East Java, Indonesia

“…Sugarcane (Saccharum officinarum L.) is one of the essential staple crops in Indonesia, as the main sugar producer. Sugar production in Indonesia fluctuates over time, but it tends to decrease (FAOSTAT 2020;Putra et al 2016;Sulaiman et al 2019;Toharisman and Triantarti 2016). Several factors causing such declines are degradation of sugarcane cultivar, poor cultivation management, climate variability, and low mill efficiency (Dardak 2012;Ranomahera 2013).…”