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World Bank Document D N OF N T ON FILE COPY DOCUMENT OF INTERNATIO EJ,TION AND DEVELOPMENT INTERNAT LATON Public Disclosure Authorized Not For Public Use Report No. 705-IND Public Disclosure Authorized INDONES IA IRRIGATION PROGRAM SURVEY Public Disclosure Authorized April 15, 1975 Public Disclosure Authorized Irrigation and Area Development Division East Asia and Pacific Pacific Projects Department This report was prepared for official use only. by the Bank Group. It may not be published, quoted or cited without Bank Group authorization. The Bank Group does not accept responsibility for the accuracy or completeness of the report. CURRENCY EQUIVALENTS US$1.00 Rupiah (Rp) 415 Rp 100 US$0.24 US$1 million Rp 415 million Rp I million US$2,410 WEIGHTS AND 1MEASURES (METRIC SYSTEM) 1 meter (m) = 3.28 feet 1 kilometer (km) = 0.62 miles 1 hectare (ha) 2.47 acres 1 ton = 1,000 kilogram (kg) = 2,205 pounds FISCAL YEAR April 1 - March 31 GLOSSARY desa - village dharma tirta - water user group gogorancah - technique for direct seeding of rice golongan - system of rotational irrigation gotong royong - cooperative effort kabupaten - district kecamaten - sub-district juru - irrigation sub-foreman padi gabah - unhusked rice 1/ pengamat - irrigation foreman sawah - bunded rice field ulu-ulu - village water master 1/ The unit of yield used throughout this report ABBREVIATIONS BAPPENAS - Badan Perancanan Pembangunan Nasional - National Planning Agency BIMAS - Bimingan Massal Swa Sembada Bahan Makanan - "Mass Guidance for Self-Sufficiency in Foodstuffs" - a farm input-credit package program BRI - Bank Rakyat Indonesia - People's Bank of Indonesia BULOG - Badan Urusan Logistik - "National Logistics Body" - rice procurement agency BUUD - Badan Usaha Unit Desa - Village Unit Cooperative CBS - Biro Pusat Statistik - Central Bureau of Statistics CRIA - Central Research Institute for Agriculture DAP - Diammonium phosphate DGWRD - Director(ate)-General of Water Resources Development DOLOG - Depo Logistik - provincial branch of BULOG GDP - Gross Domestic Product GOI - Government of Indonesia HYV - High-yielding Variety INMAS - Intensifikasi Massal - "Massive Intensification" - a farm input program INPRES - Instruksi Presiden - "Presidential Instruction" - a rural public works program IPB - Institut Pertanian Bogor - Bogor Institute of Agriculture IPEDA - Iuran Penbangunan Dearah - Land Tax IRRI - International Rice Research Institute ITB - Institut Teknologi, Bandung - Bandung Institute of Technology MOA - Ministry of Agriculture MPWEP - Ministry of Public Works and Electric Power NSC - National Seeds Corporation Pelita - Five-Year Development Plan PPL - Field Extension Worker PROSIDA - Proyek Irigasi IDA - Agency of DGWRD, created to execute IDA-assisted projects RMS - Rice Marketing and Storage Study (USAID) RPIPI - Rice Production and Intensification Programs in Indonesia Study SAE - Survey Agro Ekonomi Institut - Agro-Economic Survey Institute TSP - Triple Superphosphate INDONESIA IRRIGATION PROGRAM SURVEY TABLE OF CONTENTS Page No. SUMMARY ................................................ i-iii I. BACKGROUND ............................................. 1 Mission's Objectives and Methods .. ................ 1 The Economy ., ..................... 2 Agriculture ....... ................ 3 Paddy Production .................................. 3 The Need for Rice Irrigation ................ 5 Population and Social Structure .................. 5 Administration of Irrigated Agriculture ........... 5 Irrigation under the First Five Year Plan ......... 6 Irrigation Program under the Second Five Year Plan. 6 II. BANK GROUP PROJECTS REVIEWED ..... ...................... 6 Objectives ....... ................ 6 Physical Progress ................................. 7 Operation and Maintenance ..... .................... 7 Other Technical Problems ..... .................. 8 Agricultural Development ..... ................. 8 Farm Income ........................ .............. 9 Reassessment of the Jatiluhur Rehabilitation Project (Credit 195-IND) ...... .................... 9 Organization and Management ..... .................. 9 III. PROPOSALS TO INCREASE PRODUCTION: INFRASTRUCTURE ...... 10 Pelita II Irrigation Projects ..................... 10 On-Farm Development ...... ......................... 10 Other Infrastructural Development .............. ... 12 This report is based on the findings of a mission, comprising Messrs. H.J. Tennent, M.G. Saddington, and C. Koch-Weser (Bank), P.F. van der Goot and C. Pineau (FAO), and P. Judd and R. Fagerberg (Consultants). The mission was assisted by Prof. S. Tjondronegoro in the field and by Mr. P.W. Whitford in compiling this report. -2- Page No. IV. PROPOSALS TO INCREASE PRODUCTION: AGRICULTURE ......... 12 Agricultural Techniques .................... ....... 13 Recommended Improvements ...... .................... 13 Agricultural Supporting Services ......... ......... 14 Crop Insurance . .................................... 17 Training .......................................... 18 V. CONCLUSIONS AND RECOMMENDATIONS ..... ................... 18 ANNEXES 1. Terms of Reference: Summary 2. Rural Socio-Economic Survey 3. Agricultural Related Services and Organizations 4. On-going Irrigation Rehabilitation Projects 5. Operation and Maintenance 6. Agriculture 7. Processing and Marketing of Paddy and Rice 8. Rehabilitation of Jatiluhur Irrigation System: Reassessment of Economic Internal Rate of Return 9. Proposed Irrigation Projects in the Second Five-Year Plan 10. Rural Social Structure and Farm Income 11. Seed Production 12. Credit 13. Crop Insurance 14. Training 15. Bibliography CHARTS 8722(R) Assessment of Yield Potential 8723(R2) Actual and,Proposed Organization of Services for Irrigated Agriculture 8814 Typical Operation and Maintenance Organization - Pemali-Comal MAPS 10032 Indonesia - Administration and Population 3627R1 Indonesia - Irrigation Rehabilitation Projects 10036 Indonesia - Land Use: Western Area 10072 Indonesia - Land Use: Central Area 10073 Indonesia - Land Use: Eastern Area 10034R Indonesia - Rainfall 10035 Indonesia - Soils INDONESIA IRRIGATION PROGRAM SURVEY SUMMARY (i) The purpose of the survey was to examine the success or otherwise of the on-going irrigation projects and to recommend ways of increasing paddy production mainly in Java. The mission's field work was confined mainly to the Bank group assisted irrigation rehabilitation projects in Java. The mission recommends action in the fields of (i) agricultural techniques and reduction of losses; (ii) irrigation rehabilitation and on-farm development; and (iii) new irrigation schemes and improved infra-structure. (ii) Indonesia's economy has grown rapidly since 1968, but agriculture's share in the economy has declined. It accounted for 50% of GDP in 1968 and about 43% in 1973. Agricultural output grew at about 4% over that period, but the rest of the economy grew more rapidly. From 1968 to 1973 paddy pro- duction increased more rapidly than total agricultural output, increasing by about 4.2% per annum. Rice imports, however, are still substantial, varying between 0.5 and 1.5 million tons in recent years due in part to adverse weather conditions and stock building. (iii) Three broad strategies are available to meet this deficit: (i) al- lowing imports to increase, which may be feasible from a balance of payments point of view but may be unacceptable because of a lack of secure sources of supply; (ii) stimulating domestic supply by making further improvements and developments to physical infrastructure, mainly in irrigation, and expanding improved agricultural technology, through strengthened agricultural support- ing services; and (iii) expanding paddy hectarage in the Outer Islands. Crop insurance is not considered a feasible alternative for expanding paddy output. This report deals mainly with the second strategy. (iv) Some 56% of the area harvested for paddy is on Java and Bali and about 60% of this area is irrigated. The standard of irrigation, however, varies considerably and only 1.2 million ha (out of a total paddy area of 4.7 million ha on Java and Bali) has fully-controlled and permanent irrigation systems, and about 1.0 million of this area is now undergoing rehabilitation. For the whole country about 1.5 million ha (with a total of 8.3 ha harvested for paddy) has fully-controlled irrigation. In the wet season, supplementary irrigation is necessary if high yields are to be obtained. In the dry season, no cropping is possible without irrigation. (v) Despite delays, physical progress in implementing the five Bank group assisted projects is fairl-y-sitisfactory, exept_for=tertiry and - quaternary development. Operatioff 1-if hance is beginning to be put o-Fasound-organizational and financial footing but further efforts are needed in providing adequate funds, equipment and staff training. Other technical problems include insufficient drainage, soil conservation and rural roads. It is difficult to evaluate the agricultural progress-ofShe projects due toaolawever, aedaa Ht ons are that - ii - yields are increasing roughly in line with appraisal estimates. The number -of extension workers is still inadequate. There is a pressing need for - regular farm income surveys byani-impartial body. A reassessment of the economic rate of return of one of the projects, the Jatiluhur Rehabilitation Project, showed that project justification has not been seriously impaired by cost increases and delays, since the price of rice has also increased enormously since appraisal. (vi) Irrigation
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