Indonesia Tightens Cassava, Ethanol Import Rules as Local Producers Struggle
Jakarta. Indonesia will introduce new import restrictions on cassava and ethanol to protect local producers, Agriculture Minister Andi Amran Sulaiman announced Friday, following directives from President Prabowo Subianto.
The curbs, to be formalized through Trade Ministry regulations, will apply under a limited prohibition scheme, meaning imports will be allowed only when domestic supply falls short. Amran said cassava and tapioca flour will be prioritized from local farmers to meet domestic demand, with imports halted once those needs are satisfied.
“This is a very strategic decision ordered by the President. If domestic supply is sufficient, imports will not be permitted,” Amran said during a press briefing at the Agriculture Ministry.
The move is significant for Lampung, Indonesia’s top cassava-producing province, where farmers have long complained about falling prices due to cheaper imported tapioca. Lampung Governor Rahmad Mirzani Djausal welcomed the measure, saying it would help stabilize cassava prices nationwide.
“Global tapioca prices have dropped recently, and the entry of imports has put further pressure on cassava prices in Lampung and across Indonesia,” Rahmad said, urging the government to also impose a ceiling price on tapioca flour to better regulate supply chains.
Data from the Central Statistics Agency (BPS) shows cassava imports soared 609 percent year-on-year to $1.65 million from January to November 2024, with Vietnam supplying more than 90 percent of the total.
Alongside cassava, Prabowo has also ordered new restrictions on ethanol imports. The directive comes after controversy surrounding Trade Ministry Regulation No. 16/2025, which removed import approval requirements for ethanol classified as fuels. The change sparked protests from sugarcane farmers and domestic ethanol producers, who warned it could open the floodgates to cheaper imports.
“Indonesia will import ethanol only as needed. If domestic supply is sufficient, imports will be halted,” Amran said, adding that the regulation is being coordinated with Chief Economic Affairs Minister Airlangga Hartarto and Chief Food Affairs Minister Zulkifli Hasan.
The new rules are expected to be finalized as early as Friday, or by next week at the latest.
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