Indonesia’s Coordinator Minister for Food Affairs, Zulkifi Hasan, revealed that the country intends to import specialty rice from the United States, noting that the imports will not be meant for daily consumption.
Indonesia’s pledge to import rice is tied to the reciprocal trade agreement (ART) with Washington, which was signed on February 19.
“The agreed 1,000 tons of rice is limited to specialty rice,” said Zulkifli Hasan on Monday.
The chair of the National Mandate Party (PAN) said the imported rice would not be broadly distributed in the domestic market. “This is specialty rice, for instance, varieties for those with high blood sugar. It is clearly not the rice used for our general consumption,” he said.
The imports will also cover Japanese rice, typically served in restaurants. The minister affirmed that this type of rice is distinct from the staple rice consumed in Indonesian households, mainly because of its higher cost and its appeal to a more specialized market.
Indonesia is required to import $4.5 billion worth of agricultural products from the United States under the reciprocal trade agreement. This commitment is outlined in the fourth annex of the ART document under the section titled ‘Purchase Commitments’ for agricultural goods.
The agreement also requires Indonesia to increase imports of U.S. agricultural products, including beef, rice, corn, soybeans, wheat, ethanol, and fresh fruit. The subsection (i) specifically states, “Indonesia shall ensure that Indonesia’s imports of rice of U.S. origin exceed 1,000 metric tons annually.”
The pledge to import 1,000 tons of rice has sparked concern, particularly after the government reported a surplus in domestic rice production, leading to questions over the necessity of such imports.
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