Minister Amran Targets SGN to Rebound from Losses, Projects Rp 750 Billion Profit Next Year
Agriculture Minister Andi Amran Sulaiman led a Sugar Self-Sufficiency Acceleration Meeting with the management of PT Sinergi Gula Nusantara (SGN) in Surabaya on Tuesday (22/7). He revealed that SGN's transformation is starting to show results, with a projected profit of around Rp 600 billion this year after a loss of about Rp 600 billion the previous year. Amran is targeting a profit of at least Rp 750 billion next year.
This optimism aligns with the government's strategy to achieve national white sugar self-sufficiency within two years, as directed by President Prabowo Subianto. The national production target is 3 million tons by 2029 through increasing sugarcane productivity and improving the sugar industry from upstream to downstream.
The main step to accelerate self-sufficiency is rejuvenating ratoon sugarcane plants aged 7–15 years. The government has prepared a budget for the ratoon removal program, allocating around Rp 9 trillion for plantation support, including free superior seeds, land processing, and agricultural machinery assistance. This program covers the rejuvenation of approximately 298,000 hectares of sugarcane land, modernization of sugar mills, and optimization of molasses as a raw material for bioethanol.
Amran emphasized strict oversight so the program is on target and benefits farmers. "If anyone plays with farmers' rights and interests, we will certainly take action," he stressed. Indonesia still has great potential for sugarcane land development in Sumatra, Java, Sulawesi, and Maluku.
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