JAKARTA - PT Asuransi Jasa Indonesia (Jasindo) continues to strengthen the implementation of the Rice Farmer Business Insurance Program (AUTP) as part of efforts to support national food security and food self-sufficiency targets.
Senior Economist at Indef, Bustanul Arifin, revealed that the AUTP program is very important in theory and concept. However, Bustanul did not deny that many farmers still do not understand the substantive meaning of AUTP. According to him, for farmers, especially AUTP, something that has not become a habit or culture, so it must be quite difficult for them.
"Imagine, the person, his soul or his own life is not insured, it is a bit difficult to hope that his tanning business will be insured," said Bustanul, Friday, July 31.
Bustanul admitted that he had met directly in the field with farmers about what AUTP and PT Jasindo as SOEs were appointed to implement AUTP. According to him, Indonesia should be able to emulate developed countries such as the United States because farmers there rationally pay premiums, because the benefits are real and enjoyed directly by farmers.
"If in the dry season, farmers experience crop failure, then the insurance company will bear the losses of farmers. There are some technical requirements, but farmers must have included them in the business plan for next year," explained Bustanul.
Therefore, he encouraged the performance of AUTP to be even better. He proposed that the central government provide special and tiered training to field agricultural extension workers. In addition, he proposed that extension workers should also be systematic with clear KPIs.
"Involve universities throughout Indonesia, especially those with agricultural faculties. Later, there will be better interaction between extension workers and lecturers and researchers in the field," said Bustanul.
On the other hand, he encourages not to generalize the field conditions, because the character of the agricultural agro-ecosystem in all of Indonesia is very different. According to him, each region has certain characteristics. In Java, maybe the superior rice variety is Inpati 30. But, in Sumatra, Sulawesi and Nusa Tenggara, it is more suitable for Inpari 39, Inpari 42 or Inpago (Inbrida gogo rice).
"The point is, everything must be done systematically, structurally, and in accordance with their responsibilities. AUTP is not a matter of programs and projects, but a change in behavior to manage production risks and food value chain risks," concluded Bustanul.
To note, several local governments have encouraged farmers to participate in the farmer program amid the threat of drought. The reason is, based on the estimated season, the 2026 drought will last until October or even November.
Previously, Jasindo as a Danantara ecosystem part of IFG Holding, also confirmed its commitment to strengthen the AUTP program in order to support President Prabowo Subianto's goal to achieve food self-sufficiency. Jasindo is actively educating farmers about adaptive planting patterns and risk management to minimize the impact of climate change.
AUTP itself is designed as an instrument to protect farmers from the risk of floods, drought, and pest and disease attacks, with a mechanism for mapping vulnerable areas and field verification in accordance with the provisions. The AUTP program is intended for farmers who are members of farmers' groups with a maximum land area of two hectares per growing season, as a form of protection in accordance with Law No. 19 of 2013 concerning the Protection and Empowerment of Farmers. This program guarantees that farmers will continue to receive financial protection when they fail to harvest due to natural disasters or attacks by crop-damaging organisms.
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