DIGIVESTASI - The Institute for Development of Economics and Finance (Indef) noted that agricultural production has consistently declined during President Joko Widodo's (Jokowi) 10-year administration. Head of Indef's Center of Food, Energy, Sustainable Development, Abra Talattof, explained that since Jokowi was inaugurated in 2014 until the end of 2023, the growth of the agricultural sector fell by 294 basis points (bps). “The growth of the agricultural sector continues to decline, from 4.24% in 2014 to 1.3% in 2023,” Abra said in a virtual discussion themed ”Strengthening Food Security and Poverty Alleviation: Homework for the Prabowo-Gibran Government” on Sunday (22/9/2024).

Abra added that the downward trend in agricultural sector growth had been seen before the Covid-19 pandemic. In 2019, Indonesia's agricultural growth had declined to 3.6%. As a result, the contribution of the agricultural sector to Gross Domestic Product (GDP) continues to decrease, from 13.34% at the beginning of Jokowi's administration in 2014 to 12.53% in 2023. “So, the sector's performance continues to decline, with or without the pandemic, and its contribution to GDP has also shrunk from 13.3% to 12.5% during the Jokowi era,” he said.

Historically, the agricultural sector's contribution to GDP had reached 30.2% in 1975. However, during the New Order era in 1995, its share declined to 17.1%. This decline also had an impact on employment, where in 1995 the agricultural sector absorbed 46% of the workforce, but the figure dropped to 29.4% in 2023. “Unguaranteed welfare in the agricultural sector is the reason many workers shift to the service sector,” concluded Abra.

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