Indonesia is bracing for a significant drop in rice production in June and July this year, according to the head of the country's food agency. The decline is attributed to delays in the crop cycle caused by reduced rainfall last year due to the El Niño weather phenomenon.
Arief Prasetyo, the head of the food agency, presented data to the parliament, indicating that June rice production is expected to be 2.01 million metric tons, while July production is projected to reach 2.15 million tons. These figures represent a substantial decrease compared to the corresponding months last year, when production stood at 2.79 million tons and 2.48 million tons, respectively.
To address the anticipated shortfall, Indonesia's food procurement agency, Bulog, has already imported 1.2 million tons of rice as of April, out of the 3.6 million import quota allotted for the year.
The impact of the El Niño weather pattern has been far-reaching, with domestic rice production from January to July reaching only 18.64 million tons, a staggering 13.3% decrease compared to the same period last year. However, rice consumption during this period remained high at 18 million tons, according to Arief.
While Indonesia grapples with production challenges, neighboring Vietnam has reported a significant increase in rice exports. In May, Vietnam's rice exports rose by 35.3% year-on-year, reaching 980,000 tons.
The Indonesian government is closely monitoring the situation and exploring various measures to ensure food security and stable rice prices for its population. Efforts are underway to mitigate the impact of the production decline and maintain a steady supply of the staple grain. As the global rice market dynamics continue to evolve, countries like Indonesia and Vietnam play crucial roles in ensuring the availability and affordability of this essential food commodity for their domestic and international markets.
