Jakarta. Indonesia is set to resume rice exports after a 42-year hiatus, with the government planning to ship 500,000 tons of rice to Malaysia following a surge in domestic production.

Hashim Djojohadikusumo, the president’s special envoy for climate and energy, said Indonesia had achieved its rice self-sufficiency target three years ahead of the government’s 2029 target, creating a surplus that has pushed state-owned rice warehouses toward capacity.

“The rice self-sufficiency target was achieved three years ahead of the 2029 target,” Hashim said at the Investor Daily Summit 2026 at the Raffles Jakarta on Wednesday.

Indonesia’s rice stocks have reached around 5.3 million tons, according to Hashim. The country’s state-owned food procurement agency, Bulog, has reportedly filled its warehouses and is renting private storage facilities to accommodate additional stocks.

The surplus has allowed the government to resume exports, with 500,000 tons of rice planned for shipment to Malaysia. Hashim said the move would mark Indonesia’s return to the international rice market as an exporter after 42 years.

The higher production also means Indonesia no longer needs to pursue an earlier plan to expand rice-growing areas by 2 million to 3 million hectares, Hashim said.

The government had previously planned to develop millions of hectares of additional rice fields, including in Merauke in Papua and parts of Kalimantan, as part of efforts to strengthen national food security and reduce dependence on imports.

Hashim attributed the increase in production partly to policies aimed at improving incentives for farmers. Farm-gate rice prices have risen by about 50%, while the price of subsidized fertilizer has been cut by 20%, he said.

The combination has lowered production costs and encouraged farmers to prioritize rice over oil palm, which can require a longer period before generating returns.

“Production costs have fallen, and farmers now prefer planting rice over oil palm because it generates money faster, creating a cash economy,” Hashim said.

The development, he said, demonstrates that Indonesia can strengthen food security without significantly expanding agricultural land.

“This proves that we can grow economically while protecting the environment,” Hashim said.

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