Indonesia's Position and Participation in The Global Value Chain of The Agriculture Sector

• DOI: 10.17358/jma.22.1.105
• Publication Date: 2025-04-17T00:58:37Z
• Authors: Herry Nugraha; Rita Nurmalina; Noer Azam Achsani; Arif Imam Suroso; Suprehatin Supreh...
• Keywords: Position (finance); Value (mathematics); Value chain; Global value chain; Chain (unit)

Background: The agricultural sector in Indonesia, contributing 13.7% to GDP and employing 30% of the workforce, is critical nation's economy. Despite its importance, country's participation global value chain (GVC) faces persistent challenges, particularly advancing agro-processing integrating into high-value production. Purpose: This study analyzes Indonesia's GVC position from 2007 2021, using UIBE Index ADB ICIO data.Design/Methodology/Approach: Descriptive statistics linear regression methods are used assess forward backward compared that 62 other countries worldwide.Findings/Result: Findings reveal significant declines participation, reflecting progress toward self-sufficiency, yet limited complex linkages underscores deficiencies technological infrastructure value-added exports. Moderate engagement simple highlights need for targeted investments boost competitiveness. Strategic interventions infrastructure, advanced inputs, capacity-building, collaborations essential strengthening role. Conclusion: To enhance Indonesia must address technological, policy gaps. agro-processing, supply modernization, international partnerships boosting competitiveness export performance. Originality/Value (State Art): provides comprehensive insights policymakers stakeholders, emphasizing innovative strategies Indonesia’s presence achieve sustainable growth. Keywords: Agriculture, Position, Participation, Global Value Chain (GVC), Index.