On Trump Tariff Impact, Agriculture Minister: Maximize Domestic Market

MAKASSAR, KOMPAS - Minister of Agriculture Andi Amran Sulaiman stated that the implementation of tariff policies by United States President Donald Trump could be utilized as an opportunity to seek new markets for Indonesian products. Several products could also be optimized to meet domestic market demands.

Amran made this statement on the sidelines of the Bugis Makassar Traders Meeting, Thursday (10/4/2025), in Makassar, South Sulawesi.

"The issue of Trump's tariffs is not without impact. However, it does not need to be overly worried about. For example, we have 1.7 million tons of biofuel exported to America. If this needs to be reduced, we can use the biofuel domestically, such as for B40 and B50. For B50, we need 5.3 million tons. This means there is no problem," he said.

Amran also added that, in order for trade between the United States (US) and Indonesia to be balanced, Indonesia should only import commodities that are not available domestically, such as wheat.

"Our product exports, for example, include high levels of CPO (crude palm oil). Imports are dominated by wheat. We import wheat from several countries," said Amran.

He added that if Indonesia's CPO exports to the US decrease due to Trump's tariffs, the commodity could be redirected to meet domestic needs or exported to other countries. Domestically, CPO can, among other things, be processed into Biodiesel B50 products.

Amran stated that the most important thing is that farmers, who are directly involved with food and the needs of the wider community, are not disrupted. "If food becomes problematic, the country will face difficulties. But if it is already secure, there should be no issues," he said.

Regarding President Prabowo Subianto's statement on import relaxation, Amran stated that the remark cannot be viewed in isolation. According to him, the President prioritizes the interests of the public.

"The meaning is whatever is best for the people. Must side with the common people. The import issue is technical. If the people need it, we do it, if they don't need it, we don't do it. Why? The key word conveyed by the president is to side with the people," said Amran.

Previously, in an interview with a number of senior journalists from national mass media at his private residence in Hambalang, Bogor Regency, Sunday (6/4/2025), President Prabowo conveyed the need to expand the export market.

"Our entrepreneurs must also, in other words, have long-term planning, and not depend on one good market. Yes, right? We must be brave. Why don't we go to Africa? Africa is the new emerging market of the world. Africa, you know. The population is large. The resources are abundant. The needs are numerous," said the President.

In addition, the President also said that the domestic market is very large. With a population of almost 300 million people, Indonesian citizens' consumption is also large and can be an opportunity for Indonesian entrepreneurs.

However, in an event entitled "Economic Discussion with the President of the Republic of Indonesia: Strengthening Indonesia's Economic Resilience Amidst the Wave of Trade Tariff Wars" in Jakarta, Tuesday (8/4/2025), President Prabowo stated that the government would eliminate import quotas.

The elimination of import quotas is expected to further ensure the smooth flow of trade and facilitate business actors. According to Prabowo, he has instructed the relevant ministries/institutions directly.

"I ask, there is a minister of agriculture, a minister of trade, there is no need for quotas. Whoever wants to import meat, please do so. Anyone can import, brothers and sisters. Want to import anything, please do so, just open up. Our people are already smart," the President said.

On that occasion, the President did not elaborate in detail on the plan to eliminate import quotas for which commodities and from which countries.

However, in an official statement issued by the Press, Media and Information Bureau (BPMI) of the Presidential Secretariat, the elimination of import quotas was primarily aimed at goods that concern the livelihoods of many people.