Indonesia Should Lure Investors to Improve Food Security: OECD

Indonesia, the world’s biggest palm oil producer and second largest for rubber, should make agriculture more attractive for investors to improve food security, said the Organization for Economic Cooperation and Development.

Restrictions on foreign ownership, complicated land rights, the need for many permits and licenses and inadequate transport and irrigation systems are among factors discouraging investors, it said in a review of agricultural policies.

Foreign and domestic investment in agriculture is relatively low compared with its share of gross domestic product and employment, it said. The country is the 10th largest agricultural producer, just behind Turkey and France and ahead of Germany and Argentina, and is the third-biggest rice grower and consumer after China and India, it said.

To contact the reporter on this story: Yoga Rusmana in Jakarta at

To contact the editor responsible for this story: James Poole at

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