The role of agriculture in the structural transformation of Indonesia

Indonesia has managed to combine high rates of growth, rapid reductions in rural poverty and a significant structural transformation of its economy all at the same time without a big increase in urban manufacturing. Agriculture was a critical part of this transformation through two important channel...

Full description

Bibliographic Details
Main Authors: Morley, Samuel, Kennedy, Adam, Pradesha, Angga, Hadiwidjaja, Gracia
Format: Artículo preliminar
Language:Inglés
Published: International Food Policy Research Institute 2019
Subjects:
Online Access:https://hdl.handle.net/10568/145961
_version_ 1855516929064697856
author Morley, Samuel
Kennedy, Adam
Pradesha, Angga
Hadiwidjaja, Gracia
author_browse Hadiwidjaja, Gracia
Kennedy, Adam
Morley, Samuel
Pradesha, Angga
author_facet Morley, Samuel
Kennedy, Adam
Pradesha, Angga
Hadiwidjaja, Gracia
author_sort Morley, Samuel
collection Repository of Agricultural Research Outputs (CGSpace)
description Indonesia has managed to combine high rates of growth, rapid reductions in rural poverty and a significant structural transformation of its economy all at the same time without a big increase in urban manufacturing. Agriculture was a critical part of this transformation through two important channels. First, export-oriented agriculture, particularly palm oil and rubber contributed to rising foreign exchange receipts and helped make compatible rapid growth without balance of payments pressure on the macro economy. Second, through the release of workers from low productivity agriculture to more productive nonagricultural activities, structural change contributed between 25 and 50 percent of the rise in national labor productivity depending on the period. The government also played an important role in agricultural development and productivity growth. Public investments in irrigation in combination with subsidies for fertilizer and improved seeds increased agricultural productivity generating an adequate supply of food for domestic needs with less labor.
format Artículo preliminar
id CGSpace145961
institution CGIAR Consortium
language Inglés
publishDate 2019
publishDateRange 2019
publishDateSort 2019
publisher International Food Policy Research Institute
publisherStr International Food Policy Research Institute
record_format dspace
spelling CGSpace1459612025-11-06T05:23:41Z The role of agriculture in the structural transformation of Indonesia Morley, Samuel Kennedy, Adam Pradesha, Angga Hadiwidjaja, Gracia fertilizers commodities agricultural transformation agriculture irrigation palm oils agricultural development rubber subsidies agricultural productivity Indonesia has managed to combine high rates of growth, rapid reductions in rural poverty and a significant structural transformation of its economy all at the same time without a big increase in urban manufacturing. Agriculture was a critical part of this transformation through two important channels. First, export-oriented agriculture, particularly palm oil and rubber contributed to rising foreign exchange receipts and helped make compatible rapid growth without balance of payments pressure on the macro economy. Second, through the release of workers from low productivity agriculture to more productive nonagricultural activities, structural change contributed between 25 and 50 percent of the rise in national labor productivity depending on the period. The government also played an important role in agricultural development and productivity growth. Public investments in irrigation in combination with subsidies for fertilizer and improved seeds increased agricultural productivity generating an adequate supply of food for domestic needs with less labor. 2019-05-22 2024-06-21T09:05:26Z 2024-06-21T09:05:26Z Working Paper https://hdl.handle.net/10568/145961 en https://hdl.handle.net/10568/153826 https://doi.org/10.2499/p15738coll2.133254 https://hdl.handle.net/10568/147967 https://hdl.handle.net/10568/147370 Open Access application/pdf International Food Policy Research Institute Morley, Samuel; Kennedy, Adam; Pradesha, Angga; and Hadiwidjaja, Gracia. 2019. The role of agriculture in the structural transformation of Indonesia. IFPRI Discussion Paper 1838. Washington, DC: International Food Policy Research Institute (IFPRI). https://hdl.handle.net/10568/145961
spellingShingle fertilizers
commodities
agricultural transformation
agriculture
irrigation
palm oils
agricultural development
rubber
subsidies
agricultural productivity
Morley, Samuel
Kennedy, Adam
Pradesha, Angga
Hadiwidjaja, Gracia
The role of agriculture in the structural transformation of Indonesia
title The role of agriculture in the structural transformation of Indonesia
title_full The role of agriculture in the structural transformation of Indonesia
title_fullStr The role of agriculture in the structural transformation of Indonesia
title_full_unstemmed The role of agriculture in the structural transformation of Indonesia
title_short The role of agriculture in the structural transformation of Indonesia
title_sort role of agriculture in the structural transformation of indonesia
topic fertilizers
commodities
agricultural transformation
agriculture
irrigation
palm oils
agricultural development
rubber
subsidies
agricultural productivity
url https://hdl.handle.net/10568/145961
work_keys_str_mv AT morleysamuel theroleofagricultureinthestructuraltransformationofindonesia
AT kennedyadam theroleofagricultureinthestructuraltransformationofindonesia
AT pradeshaangga theroleofagricultureinthestructuraltransformationofindonesia
AT hadiwidjajagracia theroleofagricultureinthestructuraltransformationofindonesia
AT morleysamuel roleofagricultureinthestructuraltransformationofindonesia
AT kennedyadam roleofagricultureinthestructuraltransformationofindonesia
AT pradeshaangga roleofagricultureinthestructuraltransformationofindonesia
AT hadiwidjajagracia roleofagricultureinthestructuraltransformationofindonesia