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Jakarta (ANTARA) – Indonesia’s Ministry of Trade has introduced two new regulations tightening import controls on cassava and ethanol, aiming to protect local farmers and secure the supply of key industrial raw materials in line with President Prabowo Subianto’s directive.

Trade Minister Budi Santoso said the new measures are intended to “safeguard domestic producers while ensuring stable raw material availability for industry.”

The first regulation, No. 31/2025, amends previous import rules for agricultural commodities by restricting the importation of cassava and its derivatives, including tapioca starch. Only producer importers (API-P) with valid licenses will be permitted to import cassava products. Import approvals must be supported by technical recommendations from the Ministry of Industry or commodity balance data, with customs authorities closely monitoring shipments.

To strengthen supply management, the Trade Ministry also plans to include cassava in Indonesia’s national commodity balance framework, allowing better coordination of domestic supply and demand.

The second regulation, No. 32/2025, revises chemical import procedures by reintroducing control mechanisms for ethanol imports, which had previously been liberalized. According to Budi, this measure aims to prevent disruption to local molasses markets while ensuring ethanol remains available for industrial needs.

“Ethanol is crucial for various industries, but its importation must not harm our sugarcane farmers,” Budi explained. He added that the policy aligns with Indonesia’s broader goals of achieving self-sufficiency in sugar, promoting energy independence, and supporting the green economy.

Additionally, the new rule allows registered hazardous material importers (IT-B2) and state-owned enterprises with API-U licenses to distribute approved chemical materials for use in industries such as pharmaceuticals, cosmetics, and food, under the supervision of the Food and Drug Monitoring Agency (BPOM).

“The objective is to maintain safe and well-regulated access to essential inputs while strengthening national production capacity,” Budi said.

Source: RI Govt tightens cassava, ethanol imports to aid farmers - ANTARA News