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Indonesia Agro-Value Chain Assessment: Issues and Options in Promoting Digital Agriculture
(World Bank, Washington, DC, 2020-06-23) World Bank
This background paper aims to provide an assessment of the issues and options in promoting digital agriculture in Indonesia, within the broader technology landscape of the country, with the primary aim of informing the design of the proposed World Bank investment project. The study considers global best practices as well as the status of Indonesia in product traceability, e-commerce, agriculture fintech service providers, weather index insurance providers, and precision farming technology providers. Although digital agriculture is cross-cutting across all commodities, the focus was on the horticulture and small ruminant value chains as those were identified as priority commodity categories by the Ministry of Agriculture. The study also offers high-level recommendations for policymakers on reforms and programs that can accelerate the adoption of digital agriculture. In the first section, the national context and the importance of ICT technology in agriculture are summarized. Section two presents the current landscape of digital agriculture in Indonesia, followed by section three that suggests key areas where ICT can play a role in agriculture, based on global experience. As scaling up the digitization of the agriculture sector involves a complex set of policy, investment, innovation, and capacity-building measures, several high-level recommendations are provided for policymakers and practitioners in the fourth and last section.
Sustainable Management of Agricultural Research and Technology Dissemination (SMARTD) : A Strategic Framework
(Washington, DC, 2008-06) World Bank
Revitalizing agriculture is critical for rural Indonesia's economic prosperity. Historically, Indonesia's dramatic poverty reduction was driven by progress in agriculture and agriculture continues to be a potent driver of growth and poverty alleviation. Agricultural sector growth strongly induces non-agricultural sector growth in rural areas, particularly through demand for locally produced and services. Agricultural sector productivity growth (along with price changes) has remained the most important way out of poverty. To shift agriculture along these dimensions, Indonesia needs to transition from its current and ineffective public stance, growing subsidies and selective output protection, to a more aggressive provision of public goods and services that build support systems for farmers to achieve continuous productivity gains. This will require an enabling agriculture policy environment, significant improvement in the delivery of services, agricultural research and extension in particular, and supporting enabling investments, which will encourage small farmers to move to high value agricultural activities. This will boost employment and raise incomes in rural areas while creating a bigger rural market with greater trade and investment opportunities.
Sustainable Management of Agricultural Research and Technology Dissemination (SMARTD) : A Strategic Framework
(World Bank, Washington, DC, 2008-06) World Bank
Revitalizing agriculture is critical for rural Indonesia's economic prosperity. Historically, Indonesia's dramatic poverty reduction was driven by progress in agriculture and agriculture continues to be a potent driver of growth and poverty alleviation. Agricultural sector growth strongly induces non-agricultural sector growth in rural areas, particularly through demand for locally produced and services. Agricultural sector productivity growth (along with price changes) has remained the most important way out of poverty. To shift agriculture along these dimensions, Indonesia needs to transition from its current and ineffective public stance, growing subsidies and selective output protection, to a more aggressive provision of public goods and services that build support systems for farmers to achieve continuous productivity gains. This will require an enabling agriculture policy environment, significant improvement in the delivery of services, agricultural research and extension in particular, and supporting enabling investments, which will encourage small farmers to move to high value agricultural activities. This will boost employment and raise incomes in rural areas while creating a bigger rural market with greater trade and investment opportunities.