Facilitating Smallholder Farmers’ Market Access

In the OIC Member Countries

recent

study

estimates

that

Indonesia

has

nearly 25 million

farms.

131

The vast

majority, more than

million,

are

smaller than one

hectare

(Figure 36)

Average farm size

declined from 1.2

hectares

the

1960s

0.8

hectares in 2000

(Figure 37)

Despite the generally small scale of agriculture in Indonesia, growth in per capita

agricultural production has been robust across all production categories

(Figure 38)

. Some

of this growth has come from expanding the area under production, especially the area

under tree crops, as discussed later.

A key question for Indonesia is whether this rate of growth can be sustained. The

expanding demand for food and forest products at home and abroad has propelled growth

but has also used more of the environmental resources that sustain agriculture. It will be a

continuing challenge to determine the best means of protecting the rich natural

endowments threatened by rapid development and the unsustainable exploitation of

131

Lowder, Skoet, and Singh (2014), reporting census data from 2003.

FIGURE 36: DISTRIBUTION OF FARMS BY SIZE (MILLIONS) IN

INDONESIA, 2003

Source:

Lowder, Skoet, and Singh 2014.

Note:

Large plantation crop farms not included.

FIGURE 37: AVERAGE FARM SIZE IN INDONESIA, BY DECADE

Source:

Lowder, Skoet, and Singh 2014.

Note:

Large plantation crop farms not included.