PKHT IPB University and Asian Development Bank Collaborate to Discuss Strategies for Achieving Sustainable Agricultural Productivity
The Center for Tropical Horticulture Studies (PKHT) IPB University in collaboration with the Asian Development Bank (ADB) held the 11th Indonesia Development Talk Webinar with the theme 'Strategies for Achieving Sustainable Agricultural Productivity', (16/03). This discussion involved several economists to provide enlightenment and recommendations related to increasing the productivity of the agricultural sector in a sustainable manner in Indonesia.
Jiro Tominaga, ADB's Country Director for Indonesia in his speech said that this topic is very important for Indonesia in improving food security, in developing policies and in increasing Indonesia's agricultural economic growth. Moreover, the majority of Indonesia's workforce work as small farmers.
"Land ownership by farmers is still small. Farmers are also still relying on conventional technology and face difficulties in accessing markets, hence the need for more sustainable agricultural productivity in Indonesia," he explained.
Dr Awang Maharijaya, Head of PKHT IPB University also explained that one of the problems in Indonesia's agricultural sector is agricultural land ownership. This makes it difficult for farmers to increase their productivity or even increase the added value of products.
"IPB University has been trying to increase the capacity of farmers in increasing the added value of agricultural products. We need great enthusiasm from the farmers," he said.
Meanwhile, Prof Muhammad Firdaus, IPB University lecturer from the Faculty of Economics and Management (FEM) as one of the speakers also explained related to sustainable agricultural productivity. He explained that sustainable agricultural productivity must be driven by three things.
The things that he meant were how to maintain agricultural productivity, how to get more affordable market access, and how to increase the export value of agricultural products. Farmers are often faced with complicated supply chain processes and high food loss rates.
"Of course, importing food products is not a taboo. However, the main principle is how we increase the value of exports so that it can offset the number of imports," he continued.
The IPB Economics expert explained that agricultural products are inelastic demand. An increase in product supply without an increase in productivity as a result of any government intervention will cause a significant drop in prices.
"To overcome this, we need to strengthen the ecosystem through higher productivity and better market access," he added.
According to him, Indonesia must involve environmental aspects in increasing the productivity of agricultural products. This is done by improving the productivity measurement system by using several environmental factors.
"For example, water availability, total fertilization, biodiversity and social aspects. Fortunately, in 2019, the Central Board of Statistics has launched an Integrated Agricultural Survey (Sitasi) pilot project that incorporates several sustainable development points in the agricultural process," he explained.
A pentahelix collaboration involving academics, industry, government, community and media working together from upstream to downstream is needed. "This collaboration is needed from planting planning to the hands of consumers by involving the millennial generation," concluded Prof. Firdaus. (MW/Rz) (IAAS/RUM)
