Food Self-Sufficiency Through Land Area Expansion (CGE Analysis in Indonesia)

This study aimed to analyze the impact of land area expansion policy of paddy and corn crops towards food self-sufficiency in Indonesia. Analyses were performed by using CGE models based on the SAM data and Input Output Table of Indonesia in 2008. The result showed that the increase of land area of paddy and corn by 4-10%, the paddy production will rise 36,21-87,93%, while the corn production is relatively constant even going down to 0,55%. If the land of paddy and corn increased by 4-10%, it will decrease the export of almost all sectors in Indonesia, except the food and beverage industry whose increased 52-118,12%, as well as fertilizer and pesticide industries whose are relatively constant. On the other hand, the land area expansion of paddy and corn 4-10% will not affect the import of this commodity. Thus, it can be concluded that the land area expansion of paddy and corn crops have a positive impact on food self-sufficiency (rice and corn) in Indonesia