The Central Statistics Agency (BPS) reported that the Farmer’s Price Index (NTP) in May 2026 reached 127.73, an increase of 1.99 percent compared to April 2026. This result indicates that farmers’ economic conditions are improving, as their income is rising faster than their expenses.
The rise in the NTP occurred because the Farmers’ Received Price Index (IT) rose by 2.53 percent, while the Farmers’ Paid Price Index (IB) increased by only 0.53 percent.
This situation reflects that the income farmers received from selling agricultural products grew more significantly than the increase in production costs or household expenses.
The rise in the NTP was driven by the strengthening of prices for several key agricultural commodities, including rubber, paddy, cocoa, and shallots, which contributed positively to farmers’ income.
The horticulture subsector was the largest contributor to the NTP increase, with growth reaching 7.08 percent compared to the previous month.
The improvement in this subsector was influenced by rising prices of horticultural commodities such as shallots, bird’s eye chili, red chili, and tomatoes, which experienced relatively high demand in the market.
In addition to horticulture, the food crops subsector also showed positive development, with the NTP rising from 112.29 in April to 113.79 in May 2026.
Agriculture Minister Andi Amran Sulaiman stated that the increase in the NTP is an important indicator of improved farmer welfare across various regions.
According to him, this achievement is closely linked to various government programs aimed at boosting productivity and efficiency in the national agricultural sector.
The programs implemented include expanding cultivated areas, optimizing land use, rehabilitating irrigation networks, providing high-quality seeds, distributing agricultural tools and machinery, and offering guidance to farmers in production centers.
The government views the significant rise in the NTP within the horticulture subsector as evidence of the substantial potential of horticultural commodities to drive rural economic growth and boost farmers’ incomes.
Moving forward, the government is committed to maintaining supply stability, increasing productivity, and strengthening various programs that directly impact farmers’ welfare.
Amid the challenges of climate change and global economic uncertainty, Indonesia’s agricultural sector is deemed to remain resilient and continue to make a significant contribution to the national economy.
Through various policies aimed at increasing productivity and improving the cost efficiency of farming operations, the government hopes that farmers’ incomes will continue to rise, thereby strengthening and sustaining the well-being of rural communities.