Volume IV: Society, Culture, and Local Ecological Wisdom

Transforming Indonesia’s Agricultural Policy: Food Security and Islamic Economics Amid Global Supply Crises

  • Muharman Lubis UIN Sunan Gunung Djati Bandung, Indonesia
  • Alif Noorachmad Muttaqin UIN Sunan Gunung Djati Bandung, Indonesia

Keywords

Food Security; Islamic Economics; Agricultural Policy; Supply Chain Crisis; Green Sukuk.

Abstract

This study presents a multidimensional analysis of Indonesia's agricultural policy framework amidst the severe global supply chain disruptions triggered by the 2026 Strait of Hormuz crisis. While the resulting fertilizer shortages present macroeconomic export opportunities, they threaten domestic microeconomic stability and food security. Using Amartya Sen’s Entitlement Theory integrated with structural systems theory and the Sustainable Development Goals (SDGs), this paper evaluates the historical trajectory of Indonesian agrarian policies from the Green Revolution to the contemporary Food Estate mega-project. Finding critical vulnerabilities in corporatized agricultural models, the study proposes a paradigm shift rooted in Islamic economics and Maqashid al-Sharia. Ultimately, we advocate for the utilization of sustainable financing mechanisms, such as Green Sukuk and Islamic blended finance, to empower community-based indigenous farming, thereby safeguarding national food sovereignty and mitigating the socio-economic impacts of global market volatility.

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