Bogor, IDN Times — Agriculture is a sector that is the mainstay and the backbone of the national economic recovery during the Covid-19 pandemic. Within two years, the contribution is quite significant.
This is partly supported by Indonesia’s natural potential which allows various commodities to grow optimally. So that the agricultural sector is in great demand, including millennials because it promises very large profits.
1. Agricultural exports naturally increase
“Agriculture is something transcendence. Close to heaven. Because it deals with the fate and life and death of many people. The key is in management. As long as the management is right, there will be profit,” said the Minister of Agriculture at the Coordinating and Synchronization Meeting (Rakorsin) of the Directorate General of Agricultural Infrastructure and Facilities at the Ministry of Agriculture. Agriculture at IPB International Convention Center (IICC), Bogor, Thursday (10/3).
Evidence of all of this, he continued, can be seen from data released by the Central Statistics Agency (BPS).
“Exports from the agricultural sector in 2021 will reach IDR 625.04 trillion, while in 2020 it will be IDR 451.8 trillion,” he said.
2. Need cooperation between stakeholders
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Therefore, the Minister of Agriculture continued, strong cooperation between parties, both between ministries, regional governments and banks, is needed in financing.
“Our state budget is limited, therefore the government is rolling out the People’s Business Credit (KUR) program,” said the Minister of Agriculture.
In the Rakorsin, an integrity pact on the implementation of the Alsintan Taxi was also signed between the Ministry of Agriculture, banks and business actors engaged in agricultural machinery. One of the banks that attended was Bank Sumsel Babel which was attended by its President Director, Achmad Syamsudin.
For information, Bank Sumsel Babel has implemented the Alsintan KUR and is considered quite successful, it is hoped that this will become a role model for other regional banks.
3. In the future, banks hope to facilitate the absorption of KUR
Regarding KUR in the agricultural sector in the future, the Minister of Agriculture hopes that the banking commitment will facilitate the absorption of KUR through partnership programs and offtakers in a clustered manner as needed. He continued, he gave an example, KUR for the construction of warehouses, silo dryers, or Alsintan.
“Cooperation across ministries and institutions must also be increased in the context of mentoring and coaching so that the distribution of KUR is right on target,” he concluded.
The absorption of KUR in the agricultural sector in 2020 is known to reach 1.9 million debtors with the realization of loans of Rp. 55.30 trillion from the target of Rp. 50 trillion and Non Performing Loans (NPL) of 0.03 percent. (WEB)