Indonesia ranks 12th in worldwide sugar production
Indonesia's sugar plantations totaled 473,000 hectares or an increase of 2.9% from 460,000 hectares in 2008.
Sugar production grew 2.8% to 2.85 million tons in 2009.
The Indonesian government has decided to expand sugar cultivation by as much as 150,000 hectares in 2010 with the first phase 41,705 hectares. The plan will need 1.25 billion seedlings valued at Rp 563 billion.
The Indonesian Government pledged to give full assistance to a South Korean company Park Energy Pte Ltd to build a sugar factory in Bener Meriah district, Aceh. This was reiterated by the Director General for Plantations, Achmad Mangga Barani, The South Korean company will be providing fund of Rp 1.8 trillion (USD 180 million) for the investment.
Indonesia is South East Asia’s largest consumer of sugar and the world’s third largest importer, mainly for raw sugar. Total demand stood at 5.01 million MET for 2010 with imports making up the remainder mainly from Australia, Thailand and the Philippines.
Sugar is a precious commodity in Indonesia. Refined sugar is mainly used by the food and beverage industry for processed foods and soft drinks that are consumed domestically and for export.
The Ministry of Agriculture has targeted until 2019, There are 11 new sugar factories operating in Indonesia
The Expert staff of the Minister of Agriculture investment, Syukur Iwantoro said there was actually 16 Investors have expressed their interest to build sugar factories in Indonesia