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Indonesia to Halt Industrial Rice Imports in 2026

by Editor Asiatoday
January 1, 2026
in Business
Reading Time: 3 mins read
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Indonesia to Halt Industrial Rice Imports in 2026

FILE PHOTO: Indonesia Rice Stock .

ASIATODAY.ID, JAKARTA — Indonesia will fully halt imports of industrial rice starting in 2026, a decisive policy shift that underscores the government’s ambition to achieve genuine food self-sufficiency and reduce reliance on foreign agricultural supplies.

The ban covers broken rice and broken glutinous rice—key raw materials for food processing industries—which have previously been sourced from overseas. Beginning next year, all industrial demand must be met by domestic production.

The decision was finalized during the 2026 Commodity Balance meeting, chaired by the Coordinating Ministry for Food Affairs, where the government agreed to prioritize local farmers and national production capacity for strategic food commodities.

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“There will be no imports for consumption sugar. There will also be no rice imports for consumption, and industrial rice imports have been cancelled. For consumption needs, we are almost fully self-sufficient,” said Tatang Yuliono, Deputy for Food Trade and Distribution Coordination at the Coordinating Ministry for Food Affairs, on Tuesday, December 30, 2025.

No More Rice Imports—Consumption or Industrial

The meeting reaffirmed that Indonesia will no longer import general rice, a policy reversal from previous years when state-owned logistics agency Bulog was tasked with importing rice to strengthen government buffer stocks.

The same applies to industrial rice. In 2025, the government had still issued import quotas to 13 private companies supplying raw materials for rice flour and rice vermicelli. Those permits will not be renewed in 2026.

The industrial rice category includes:
– Broken rice with less than 15 percent grain integrity
– Broken glutinous rice with less than 15 percent grain integrity

From 2026 onward, all such inputs must come from domestic sources.

Industry Urged to Adapt, Local Farmers Gain Ground

With imports off the table, food processors are being pushed to optimize locally produced broken rice, a commodity that has long been underutilized in the domestic market.

The government expects local suppliers to meet industrial standards, including amylose content, cleanliness, viscosity, and hardness, enabling domestic raw materials to fully replace imported inputs.

Officials say the policy could strengthen farmers’ incomes and revive local milling industries, while reducing Indonesia’s exposure to global food price volatility.

Sugar and Corn Also Free from Imports

Rice is not the only commodity affected. The government confirmed that no sugar imports for consumption will be allowed in 2026.

According to the National Food Balance Projection as of December 28, 2025, Indonesia will carry over 1.437 million tons of consumption sugar from 2025 into 2026. Annual demand stands at 2.836 million tons, while projected production ranges between 2.7 and 3 million tons, creating what officials describe as a solid surplus.

Meanwhile, corn imports for feed, seed, and household use will also be eliminated. Indonesia’s corn carry-over stock from 2025 is estimated at 4.521 million tons, despite potential losses of around 831,600 tons due to shrinkage and waste.

Corn production in 2026 is projected at 18 million tons, comfortably exceeding annual demand of 17.055 million tons.

A Clear Signal on Food Policy Direction

The decision to end imports of industrial rice, consumption sugar, and corn sends a clear signal of Indonesia’s evolving food policy—from import dependence toward domestic resilience and agricultural sovereignty.

For Jakarta, the move is more than a technical adjustment. It represents a strategic economic statement: Indonesia is positioning itself to stand on its own in securing staple food supplies amid global uncertainty. (AT Network)

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