50% demand Sugar in Indonesia still import : http://asosiasigulaindonesia.org/50-kebutuhan-gula-di-indonesia-masih-impor/6 October 2015

Sugar demand in Indonesia reaches 5 million tons per year, but can only meet a maximum of 2.5 million tons per year. To meet domestic demand, the government is importing sugar from other countries.

"To meet the needs of nearly 50% of sugar that we are still importing from other countries such as Thailand, Australia, Brazil and other importing countries," said Production Director of PTPN 12 Suwarno.

According to him, in order to meet the needs of sugar in Indonesia, it encourages local farmers to grow sugar cane. "Instead of importing raw sugar the better if local farmers switched to plant cane," he said.

Ministry of Industry Encourages Sugarcane Plantations Outside Java to Support Sugar Plant: https://www.antaranews.com/berita/629239/kemenperin-dorong-perkebunan-tebu-luar-jawa-menunjang-pabrik-gula/15 May 2017

The Ministry of Industry encourages smallholder sugarcane plantations outside Java to support the production of integrated sugar mills. This was stated by Minister of Industry Airlangga Hartarto. His side has also prepared various strategic policies in the development of industries outside Java and revitalize sugar factories in Java. So that the absorption of raw materials is higher and requires the expansion of smallholder sugarcane plantations.

Airlangga explained, the declaration of self-sufficiency of sugar has been done since 2009, but has not materialized to date, one of which is due to the development of sugar factories integrated with sugarcane plantations require a large investment. On the other hand, fiscal incentives in the form of tax allowance and tax holiday provided for the construction of sugar factories integrated with sugar cane, have not been attractive to investors.

So in addition to providing such incentives, it is necessary to obtain facilities to obtain raw materials of Raw Crystal Sugar (GKM) imports to attract investors in the field of sugar industry integrated with sugar cane plantations, accelerate the development of sugarcane plantations in stages in meeting the needs of sugarcane raw materials for plant operations. In addition, it maximizes the utilization of factory machinery through the provision of raw materials that can not be fulfilled yet from sugar cane plantations.