Broken rice market in Indonesia

Earlier Report Observations

From 2018 to 2020, the broken rice market volume in Indonesia declined from 1 150.8 thousand tons to 1 012.2 thousand tons. This contraction occurred alongside the government's policy, implemented from 2019, to halt rice imports for general consumption while maintaining imports of broken rice for industrial use. The state-owned company Bulog played a central role in managing national rice reserves and stabilizing the market through distribution interventions.

Between 2021 and 2023, market volume showed variable movement, reaching 1 081.8 thousand tons in 2023. Production increases in 2021 and 2023 contributed to market growth, while new regulations concerning rice quality and labeling standards took effect in 2022. Extreme weather, including the El Niño phenomenon in 2023, impacted overall rice production and prompted increased imports to safeguard national supply and price stability.

Throughout the period, Indonesia consistently enforced its self-sufficiency policy for rice, eliminating consumption imports and focusing on domestic broken rice for industry. By 2025, the government announced a decision to cease imports of industrial raw materials from 2026, reinforcing the long-term strategy to reduce import dependency and optimize local supply chains.

Production broken rice in Indonesia

In kind, 2018-2021, K t

Indonesia was one of the world's leading producers of broken rice from 2018 to 2021, ranking 11th globally by production volume during this period.

Top producers of broken rice, 2018-2021

World map of production of broken rice, 2018-2021

After two consecutive years of decline, Indonesia's broken rice production increased in 2021. The country produced 704.8 K t of broken rice that year, up 2.2% from 2020. Over the 2018-2021 period, overall production decreased by 5.9%, with a compound annual growth rate of 2.0%. The lowest production volume was recorded in 2020 at 689.9 K t, while the largest decline occurred in 2019 with a 7.6% drop.

Annual dynamics of production in Indonesia in kind, 2018-2021, K t

Exports broken rice from Indonesia

Exports in kind, K t

The export market for broken rice showed significant fluctuations during the period. In 2019, exports reached their minimum at 0.0 K t, while in 2020 they peaked at 0.0 K t, representing a 278-fold difference between these years. In 2021, Indonesia exported 0.0 K t of broken rice, marking a 37.0% decline from the previous year. The largest decline was recorded in 2019 at 98.8%, while the largest increase occurred in 2020 with a dramatic 27 733.3% rise.

Annual dynamics of product's exports from Indonesia in kind, 2018-2021, K t

From 2018 to 2021, Indonesia's broken rice exports in volume terms were dominated by two key markets: Timor-Leste and the Netherlands. Together, these countries accounted for 83.4% of total export flows, with other markets forming a long tail of smaller partners.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Indonesia in kind, 2018-2021

Exports in value, M $ US

The export market in value terms exhibited volatility throughout the observed period. In 2019, exports reached their lowest point at 0.0 M $ US, while in 2020 they hit their peak at 0.0 M $ US, showing a 339-fold variation between these years. In 2021, Indonesia exported 0.0 M $ US of broken rice, representing an 87.5% drop compared to the previous year. The largest decline was recorded in 2019 at 97.9%, while the largest increase occurred in 2020 with a substantial 33 797.7% rise.

Annual dynamics of product's exports from Indonesia in value, 2018-2021, M $ US

During the 2018-2021 period, Timor-Leste was the primary destination for Indonesia's broken rice exports in value terms, accounting for 71.9% of total flows. Other markets formed a long tail of smaller trading partners.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Indonesia in value, 2018-2021

Imports broken rice to Indonesia

Imports in kind, K t

In 2021, Indonesia's broken rice import volume stood at 332.8 K t, representing a 3.3% increase from 2020. Over the 2018-2021 period, imports decreased by 17.2%, equivalent to an annualized rate of 6.1%. The minimum import volume was recorded in 2020 at 322.3 K t, while the maximum occurred in 2019 at 438.3 K t. The largest decline was in 2020 with a 26.5% drop, while the largest increase was in 2019 with a 9.0% rise.

Annual dynamics of product's imports to Indonesia in kind, 2018-2021, K t

From 2018 to 2021, Indonesia's broken rice imports in volume terms were primarily sourced from three key markets: Pakistan (30.6% of imports), India (24.8%), and Thailand (20.0%). Together, these countries accounted for 75.4% of total import flows.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Indonesia in kind, 2018-2021

Imports in value, M $ US

Indonesia's broken rice imports in value terms declined for the second consecutive year. In 2021, the country imported 0.0 M $ US of broken rice, which is 19.5% less than the previous year. Over the 2018-2021 period, imports decreased by 14.9%, with a compound annual growth rate of 5.2%. The maximum value was recorded in 2019 at 179.6 M $ US, while the largest increase occurred that same year with an 8.2% rise.

Annual dynamics of product's imports to Indonesia in value, 2018-2021, M $ US

During the 2018-2021 period, three principal markets—Thailand, Pakistan, and India—together accounted for 77.6% of Indonesia's total broken rice imports in value terms.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Indonesia in value, 2018-2021