Overview of Digital Agriculture Technologies in Indonesia: Policies, Implementation, and Covid-19 Relation

doi:10.21203/rs.3.rs-2122742/v1

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Research Article

Overview of Digital Agriculture Technologies in Indonesia: Policies, Implementation, and Covid-19 Relation

https://doi.org/10.21203/rs.3.rs-2122742/v1

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This study was purposed to overview on general application of Indonesia’s digital agriculture technology policies, implementation, and its relation to the Covid-19 pandemic. This study was undertaken through a systematic evidence evaluation complemented with an interactive map and thematic map of digital agriculture application. This study reported that the Government of Indonesia (GoI) has issued national initiatives and policies that support the implementation of digital techologies in food and agriculture sectors. However, a very limited number of both initiatives and policy has mainstreamed the Covid-19 pandemic. An interactive map of digital agriculture companies can be found at this link:https://agriculture40companies.gis.co.id/, and most of the companies are in form of farmers advisory, mechanization platforms, digital marketplace, e-commerce, traceability, food delivery, and peer-to-peer lending. These applications are mostly concentrated in Java island, and and have benefited digital technologies, such as IoT, blockchain, artifical intelligence, smart phone or android, mobile apps, GPS/GIS, and drone. Start-up companies have applied strategic measures to cope with the pandemic implications and some activities of the companies are suspended.

digital agriculture

digital technologies

Covid-19

interactive and thematic map

geographical distribution

The Covid-19 pandemic has disrupted agro-food supply chains and a substantial shift in demand and composition of food and agriculture commodities. These disruptions have been also observed in Indonesia due to large-scale social restrictions (PSBB) and other strategic health measures; and according to Alam et al. (2021), the pandemic has caused disturbances to food and agriculture goods security, production process, transportation, and logistics. Anugrah et al. (2020) suggested that synergic policies and coordination among ministries and other governmental institutions are demanded to ensure food availability and food prices stability. Hirawan et al. (2020) also recommended that to anticipate the negative impacts of the Covid-19 pandemic on the supply chain, GoI needs to optimize the potential for food production in country and improve the national food logistics system, and to ensure that optimization of the domestic food supply chain must be a top priority.

One of the strategic measures that have been undertaken by GoI to address the disruptions of agro-food supply chain during the pandemic is by applying digitization and digitalization. The implications of digitalising supply chain include 1) restructured supply chain flows to adjust to digitalisation, 2) last-mile delivery becomes more important, and 3) closure or capacity descaling of physical stores (Pujawan et al. 2021). Digitalization of food supply chain in Indonesia is considered in its infancy, and its adoption is incremental rather than radical due to its complexity and time-consuming (Saryatmo et al. 2021). Besides agri-food supply chain, digital technologies have been harnessed to support micro, small, and medium-sized enterprises (MSMEs) and startups development in Indonesia, such as: business model, sustainability, policy design, and entrepreneurial ecosystem (Fitriasari 2020, Winarsih et al. 2020, Purbasari et al. 2020, Widiyanto et al. 2021). Furthermore, the Indonesia Development Forum (2021) reported that 24% of Indonesia’s MSMEs have entered digital platforms than the MSMEs recorded before the pandemic, namely only at 13% or around 8 million businesses. However, due to the pandemic, startups have decreased starting about 2,400 companies in 2019 to 2,311 companies in 2021, and has been ranked among the world’s five biggest startup centers (Kompas 2021).

In Indonesia, there are many digital agriculture-based MSMEs and startups that can support the development of precision farming, smart farming, and digital farming, such as e-commerce, online marketplace, advisory platform, farm mechanisation, and fintech (market aggregator, crowdfunding, digital banking, peer-to-peer lending, investment, and insure-tech). These MSMEs have benefited digital technologies, such as internet of things (IoT), artificial intelligence (AI), blockchain, smartphone, robotics and automation, and so forth. For instance, eFishery and Jala that uses IoT for fish feeding solution and monitoring water condition in fishery sector, respectively. TaniHub also harnesses smartphone or android for trading agriculture commodities. The GoI has also issued policies and initiatives that support the development of digital agriculture MSMEs and startups but complex bureaucracy and red tape are still considered a major challenge for the development. Through this study, a systematic evidence evaluation was used to overview digital agriculture policies, status, and application in Indonesia, and to map digital agriculture initiatives that have been applied in Indonesia’s companies.

Data extraction

A systematic evidence evaluation was used as a major method for this study. All evidences and data were obtained from literature, including national and international journals, scientific articles, and grey literature (conference abstracts, government statistics, proceedings, policies, government publications, reports, and dissertations/theses). The literature was acquired from Google Scholar with a Population, Exposure/Intervention, Counterfactual, and Outcome (PICO/PECO) Framework. The Framework was used to generate keywords for questing literatures. For PICO/PECO Framework, populations used were food and agriculture sector in Indonesia; interventions consisted of digital agriculture application (MSMEs and startups); exposures comprised digital agriculture policies, initiatives, and its relations to Covid-19 pandemic; counterfactuals of this study consisted of no digital agriculture technologies application; and outcomes proposed were implications of the Covid-19 pandemics on digital technology initiatives, policies, and status.

Through these keywords that were contructed for literature search, Google Scholar was used, and targeted literature were downloaded, saved into database, and reviewed to obtain data with certain parameters. The parameters were documented in Ms. Excel Office 2019, including name of digital agriculture initiatives (companies, MSMEs, startups), initiatives profile (place, year of establishment, type of agriculture sub-sector, brief information, and GPS altitude), use of digital technologies, type of digital technologies, policies, and Covid-19 relations. Afterwards, acquired data were continued to analyse, present, and interpret.

Research mapping

Two maps fabricated were a thematic map modelled by using ArcMap version 10.5 Year 2016 featured in ArcGIS (Esri Indonesia, Indonesia) and an interactive map made by using Google Earth Pro version 7.3.4.8248 (Google Inc., USA). Parameter that became the baseline for creating the thematic map were name of companies/initiatives, place, and altitude whereas parameters used for modeling an interactive map were digital agriculture initiatives, initiatives profile, place, GPS coordinate use of digital technologies, and type of digital technologies. For the creation of an interactive map, these parameters directly documented in the Excel Office had pivotal data that were then uploaded in the GIS website (https://gis.co.id, Indonesia) to generate the map.

Indonesia’s digital technology status

Table 1 shows the percentage of individuals who have used the Internet from any location in the last 3 months. The individuals harness the internet through smartphone or mobile phone, computer,

Table 1. Individuals using the Internet (% of population)

Country name	Year
Country name	2017	2018	2019	2020
Indonesia	32.34	39.90	47.69	53.73
Cambodia	32.90	65.00	78.27	78.80
Korea Republic	95.07	96.02	96.16	96.51
Malaysia	80.14	81.20	84.19	89.56
Russian Federation	76.01	80.86	82.64	84.99
Saudi Arabia	94.18	93.31	95.72	97.86
Singapore	84.45	88.17	88.95	75.88
Thailand	52.89	56.82	66.65	77.84
Vietnam	58.14	69.85	68.66	70.29

Source: World Bank (2021)

digital-based electronic devices, and so on. Among these countries, Indonesia had the lowest percentage of individuals using the internet but the percentage increased from 2017 to 2020. In the last two years (2019-2020), the percentage increased dramatically, which was presumably due to the Covid-19 pandemic leading to the higher use and access of internet. According to the Indonesia Internet Service Provider Association (2020), there was the increase in internet users, internet penetration, and user growth/year from 2018 to 2019. These increased parameters are presumably as an effect of the Covid-19 pandemic, leading to the incremental use of internet for certain activities, such as online marketing and shopping, online business transaction, online working activities, and e-learning and education. For instance, a study of Iriani et al. (2021) reported that there is an effect of viral marketing on impulse buying in the Covid-19 Pandemic era through online trust and an effect of viral marketing on online trust in thepandemic.

Table 2. Contribution of internet penetration per island of total penetration

Indonesia islands	Unit	Year
Indonesia islands	Unit	2018	2019-2020 (Q2)
Sumatera	%	21,60	22,10
Java	%	55,70	56,40
Bali and Nusa Tenggara	%	5,20	5,20
Borneo	%	6,60	6,30
Sulawesi	%	10,90*	7,00
Maluku and Papua	%	10,90*	3,00

* In 2018, survey data on contribution of internet penetration in Sulawesi, Maluku, and Papua were merged

Source: Indonesia Internet Service Provider Association (2020)

Table 2 shows a study conducted by APJII on the internet penetration contribution in Indonesia islands. The Table shows that Java island had the highest internet penetration contribution, which was then followed by Sumatera; Sulawesi, Maluku, and Papua; Kalimantan; and Bali and Nusa Tenggara. The increase in internet penetration contribution in Indonesia is correlated with the Indonesia’s total population who have available internet connectionaccess point and required internet basic knowledge. It is reported that, for example, although the contribution of internet penetration in Kalimantan decreased but the internet users increased along with the increase in total population at national and province level (Supporting Data 1). The pandemic is also considered as a major factor for the mounted internet users in Indonesia. In food and agriculture sector, a study of the Australia-Indonesia Partnership for Promoting Rural Incomes through Support for Markets in Agriculture (2020) explained that 50% of farmers were active to use internet, 33% of farmers were rare to use internet, and 17% of farmers did not use internet during the pandemic. The active farmers used the internet for finding general information and communication and finding information about farming and agriculture. A survey from Mc Kinsey&Company reported that 85 to 90 percent of farmers have good access to the internet, and use Whatsapp as a main messaging channel (Agarwal et al. 2021).

Digital agriculture strategies

Mainstreaming digital agriculture in a national food and agriculture policies agenda and plan is one of the best strategies to create opportunities for sustainable development and inclusive growth during the pandemic. Table 3 shows agro-food strategies in Indonesia that mainstream the Covid-19 in agri-food 4.0. The GoI has arranged strategies for digital transformation with and without mainstreaming food and agriculture sector. These strategies can be a national initiative, policy, vision, and plan with placing the forth industrial revolution (4IR) in certain economic development sectors, especially food and agriculture. All these strategies have included food and agriculture sector in their strategic activities or policies agenda but only one digital strategy that did not include the sector, namely: Presidential Regulation No. 95 Year 2018 on Electronic-Based Government System (SPBE). In addition, not all these strategies have integrated and directly interlinked digital technologies with food and agriculture sector, such as: National Industrial Development Master Plan 2015–2035; National Research Master Plan 2017-2045; Indonesia 2045: Berdaulat, Maju, Adil, dan Makmur (Sovereign, Progressive, Fair, and Prosperous); National Medium-Term Development Plan (RPJMN IV) 2020-2024; and Law of the Republic of Indonesia No. 11 of 2020 on Job Creation (Omnibus Law on Job Creation).

Table 3. Indonesia digital agriculture policies and initiatives

Name of Strategies	Type of strategies	Content	Responsible stakeholders	Food and agriculture issues	Information related to Covid-19
Name of Strategies	Type of strategies	Content	Responsible stakeholders	Food and agriculture issues	Pre-Covid	Covid-19		Past-Covid
National Industrial Development Master Plan 2015 - 2035	National plan (The Indonesian government has issued Government Regulation No. 14 Year 2015 concerning Master Plan of National Industry Development (Rencana Induk Pembangunan Industri Nasional/RIPIN) Year 2015-2035. RIPIN is drafted to fulfil the mandate of Law No. 3 Year 2014 concerning Industry, in line with RPJMN 2015-2019)	This master plan is assigned with the Governmental Regulation No. 14 Year 2015, and is arranged as the mandate implementation of Law No. 3 Year 2014 about Industry. This master plan guides government and industrial actors in planning and developing industries in Indonesia for the next twenty years.	Main actor: Ministry of Industry. Supporting actors: Indonesian Chamber of Commerce and Industry, relevant institutions, industry actors, and universities.	Food and agriculture upstream industry become the mainstay industry prioritized under the national plan. However, in the plan, the industry has not been yet connected with digital technologies. Digital technologies are connected directly with manufactures of electronic and ICT; and manufactures of capital goods, components, supplementary materials, and services.	This master plan was adopted in June 2015 and has not yet considered the covid-19 pandemic.	N/A		N/A
National Movement of 1000 Digital Startups: The Digital Energy of Asia	National initiative	This program is an early-stage digital start-up development program, facilitating participants to network and form a team, as well as get assistance. As of 05 July 2021, this initiative has engaged more than 1,160 startups in 20 cities, and the info can be seen at https://1000startupdigital.id/beranda/#penggerak	Main actor: Ministry of Communication and Information Technology. Other actors: Indonesia startups	Agriculture and fishery sector is included in this initiative with streamlining digital technologies use for their start-up development. Some startups under the sector have been supported at the list of the startups can be seen at this link: https://1000startupdigital.id/beranda/#penggerak	This initiative was established in 2016, and it is still continued to progress. Issue of the covid-19 pandemic has become one of the accelerating factors and challenges of the start-up implementation.	During the covid-19 pandemic, the planned programs are mostly conducted online, such as online YouTube incubation and workshop.		N/A
National Research Master Plan 2017-2045	National plan	This master plan is composed to align long-term research needs with the direction of national development related to science and technology within period of 2017-2045.	Main actor: Ministry of Research, Technology, and Higher Education. Supporting actors: research-based governmental institutions and other ministries	This includes food or agriculture sector but the sector is not directly connected with digitalization or digital technology.	This master plan was composed by the Covid-19 pandemic. Food derived from agriculture sector was included as a main research focus.	N/A		N/A
Presidential Regulation No. 74 Year 2017 on Road Map of the National Electronic-Based Trading System (e-Commerce Road Map) 2017-2019	National policy	This regulation rules the acceleration and development of a national electronic- based commerce system (e-commerce). The Roamap provides provides direction and steps of preparing and implementing commercial transactions which are based on a range of electronic devices and procedures.	Main actors: Coordinating Ministry for Economy, Ministry of Home Affairs, Ministry of Commerce, Ministry of Cooperatives and Small and Medium Enterprises, Ministry of Transportation, Governor of Bank Indonesia and Chairman of Board of Commissioners of the Financial Services Agency (OJK). Supporting actors: Financial services authority, venture capital association /angel capital, e-commerce and digital economy association	In the E-commerce Roadmap, logistic system development for rural to urban community such as farmers and fishermen is included.	This regulation and roadmap was effective as of 3 August 2017. However, these did not include the Covid-19 pandemic issue.	N/A		N/A
Making Indonesia 4.0 (Toward 2030)	National initiative	This national initiative provides guidances to implement strategy and road map for 4RI in Indonesia with concerning on 5 industrial sectors and 10 national priorities.	Main actor: Ministry of Industry. Supporting actors: ministries, national and local government, industry associations, research and education institutions, and technology providers.	This includes food and beverage industrial sector, which will be attained its competitiveness at regional level.	This national initiative was composed before the Covid-19 pandemic, and was designed towards 2030. Food and beverage is one of the main industrial sectors, which will be attained its regional competitiveness.	N/A		N/A
Presidential Regulation No 95 Year 2018 on Electronic-Based Government System (SPBE)	National policy	This policy regulates the implementation of information security, certification, and audit management system in the implementation of Electronic-Based Government System. Digital technologies, which are observed to have the potential to develop in Indonesia, have been included in the Master Plan of National Electronic-Based Government System	Main actors: National SPBE Coordination Team. Supporting actors: central agencies, local governments, employees of the State Civil Apparatus, individuals, communities, business actors, and other parties who utilize SPBE services.	Food and agriculture were not mentioned in the regulation and Master Plan. Digital technologies are integrated in the Master Plan, such as mobile internet, internet of things, cloud computing, big data analysis, and artificial intelligence.	This regulation was issued and legislated on October 2018 and these happened before the Covid-19 pandemic. In the regulation and master plan of SPBE, food and agriculture sector was not mentioned but digital technologies were clearly planned to develop in Indonesia.	N/A		N/A
Indonesia 2045: Berdaulat, Maju, Adil, dan Makmur (Sovereign, Progressive, Fair, and Prosperous)	National vision	This vision is a picture and roadmap of Indonesia, which will be achieved by 2045. This vision consists of four pillars, including: (1) Human Development and Mastery of Science Knowledge and Technology, (2) Sustainable Economic Development, (3) Equitable Development, and (4) Consolidating National Resilience and Governance.	Main Actor: Ministry of National Development Planning. Supporting actors: all policy makers in the executive, judicial, and legislative circles; higher education; young generation; as well as various professional institutions	This includes food security and farmers welfare, and the sector is under pillar 2: Sustainable Economic Development. However, the sector is not directly interlinked with digital technology. In this vision, digital technology is interconnected with industry and creative economy (Pillar 2) and infrastructure development and equity (Pillar 3).	N/A	This master plan was signed by Indonesia president in May 2019, and it is identified during the Covid-19 pandemic, occurring in Indonesia. However, the pandemic issue was not integrated in the plan.		N/A
National Medium-Term Development Plan (RPJMN IV) 2020-2024	National plan (It is also set with President Regulation No. 18 Year 2020 on 27 January 2020 about National Medium-Term Development Plan (RPJMN IV) 2020-2024)	This planning document is made for a 5-year program stating from 2020 to 2024, which describe the Indonesian President's vision, mission, and programs after general election of 2019. This document is the last step of the National Long-Term Development Plan 2005-2025, consisting of 4 pillars and 7 agendas.	Main actor: Ministry of National Development Planning. Supporting actors: ministries/governmental bodies at national and local level, other institutions, public-private sectors, and Indonesia citizens.	Food and agriculture are incorporated into development agenda No. 1 of RPJMN IV Year 2020 - 2024 (Strengthening Economic Resilience for Quality Growth). This sector is not directly interlinked with digital technology.	Digital transformation for 4IR was subjected in the Macro Economic Framework 2020-2024 and Mainstreaming RPJMN IV 2020-2024 of this national strategy. Digitalisation also has been integrated into development agenda of the RPJMN IV 2020-2024.However, this strategy was adopted in 14 August 2019 without mentioning the Covid-19 pandemic.	N/A		N/A
President Regulation No. 39 Year 2019 on One Data Initiative (Satu Data Indonesia)	National policy	This regulation controls the implementation of One Data Initiative with a number of regulated principles, namely: meeting data standards, having metadata, complying with data interoperability rules, and using reference codes and/or master data. This regulation did not mention digital technologies use but the Initiative has an important role for digital transformation development especially during pandemic.	Main actors: Executive Office of the President and Ministry of National Development Planning. Supporting actors: designated national and local government.	The One Data Initiative is designed to provide an online sharing knowledge platform for communication and coordination. This platform is still in development and can be accessed at https://data.go.id/. Food and agriculture data have been integrated in the portal.	This regulation was issued in 12 June 2019, and the regulation did not mention clearly about the Covid-19 pandemic and food and agriculture sector. However, in the progressed portal of the initiative, Covid-19 information, and food and agriculture data have been provided in the portal.	Data on food and agriculture have been updated in the website of One Data Initiative. The government also still progresses the development of the initiative.	Data on food and agriculture have been updated in the website of One Data Initiative. The government also still progresses the development of the initiative.
STRANAS KA: National Strategy for Artificial Intelligence 2020-2045	National plan	This national policy direction consists of focus areas and priority areas of artificial intelligence (AI) technology, and this direction contains food security as one of the AI main areas.	Main actor: Agency for the Assessment and Application of Technology (BPPT); Supporting actors: ministries, research institutions, universities, national to local government and other stakeholders	This includes food security as one of the AI main areas	N/A	This strategy has included planned activities in health, research and education, and bureaucracy reformation to address the Covid-19 pandemic		This strategy has adapted the New Normal for the Covid-19 pandemic.
Law of the Republic of Indonesia No. 11 of 2020 on Job Creation (Omnibus Law on Job Creation)	National policy	This law regulates labour regulations, simplification of permits, investment requirements, and government administration. Digiltalization is also incorporated in some articles of the law.	Main actor: People's Representative Council. Supporting actors: ministries, industries, and investors.	This law has mentioned digital technology and industry revolution 4.0 for SMEs development, broadcasting, and land use. Food and agriculture sector is not directly connected with digital technologies.	N/A	This law was issued on 03 November 2020. However, the Covid-19 did not become a global issue for the development of this law. Food and agriculture became the main sector of discussion of this law but not connect directly with digitalization.		N/A
Ministry of Agriculture Regulation No. 4 Year 2019 on Guidelines for Agricultural Human Resources Development Movement Towards World Food Barns 2045	National policy	This regulation rules the Development Movement of Agriculture Human Resources Towards World Food Barns 2045. which aims to improve capacities and competencies of human resources. Digital technologies are one od the characters that is needed by millennial farmers who support the implementation of the Movement.	Main actor: Ministry of Agriculture. Supporting actors: young people, farmers, agro-based institutions, and agriculture industries.	This regulation placed young people with age range between 19 to 39 as a main human resource / millennial farmers for the implementation of the Movement, and they are required to be adaptive with digital technologies use.	This regulation is issued on 10 January 2019, and this integrated millennial farmers who have digital technologies knowledge and skills as a pivotal actor for the Movement.	N/A		N/A
Ministry of Agriculture Regulation No. 16 Year 2013 on Guidelines for Agricultural Extension Information Management System in Ministry of Agriculture	National policy	This regulation provides a reference and guidelines for operational standards of the Management Information Systems and Agricultural Extension in Ministry of Agriculture.	Main actor: Ministry of Agriculture. Supporting actors: cyber extension actors at national to local level	The Guidelines provides online platforms, such as cyber extension, agricultural extension workforce information system program (Simluh) and farmer and farmer group information system program (Simpoktan).	This regulation is stipulated in 25 February 2013, and digital technology example, cyber extension, was introduced in the Guidelines. Cyber extension is an agricultural extension information system through internet media to support the provision of agricultural extension materials and information for extension workers. This system might be still applied during and after the pandemic.	N/A		N/A
Decree of Ministry of Agriculture No. 259 Year 2020 on Ministry of Agriculture Strategic Plan 2020-2024.	National policy	This strategic plan delights a medium-term strategic planning document of the Ministry of Agriculture for a period of 5 (five) years starting from 2020 to 2024.	Main actor: Ministry of Agriculture. Supporting actors: ministries and other agriculture agencies under Ministry of Agriculture.	This strategic plan promotes digital transformation in the era of industry 4.0 in agriculture sector, especially in information system. Technologies used are such as Big Data, IoT, AI, and so forth.	N/A	This plan was adopted in 04 Mei 2020 during the Covid-19 pandemic. However, the pandemic has not yet been highlighted in the Guidelines, and has not yet interlinked with digital technologies use and acceleration.		N/A

Some strategies that have embodied digital agriculture technologies are such as: 1) National Movement of 1000 Digital Startups: The Digital Energy of Asia; 2) Presidential Regulation No. 74 Year 2017 on Road Map of the National Electronic-Based Trading System (e-Commerce Road Map) 2017-2019; 3) Making Indonesia 4.0 (Toward 2030); 4) President Regulation No. 39 Year 2019 on One Data Initiative (Satu Data Indonesia); 5) STRANAS KA: National Strategy for Artificial Intelligence 2020-2045; 6) Ministry of Agriculture Regulation No. 4 Year 2019 on Guidelines for Agricultural Human Resources Development Movement Towards World Food Barns 2045; 7) Ministry of Agriculture Regulation No. 16 Year 2013 on Guidelines for Agricultural Extension Information Management System in Ministry of Agriculture; and 8) Decree of Ministry of Agriculture No. 259 Year 2020 on Ministry of Agriculture Strategic Plan 2020-2024.

In these strategies, digital agriculture transformation identified are digital agriculture startups, industry, and e-commerce development; online data platform for agriculture information; digital technologies (AI, IoT, big data) integration; cyber extension and agriculture exchange platform; and millennials empowerment for agriculture development. For operating these activities, major actors who are involved include Ministry of Agriculture and Ministry of Industry but inter-ministerial and multistakeolders coordination is necessarily needed, such as Ministry of National Development Planning, Coordinating Minister for Economy, Minister of Home Affairs, Minister of Commerce, Minister of Cooperatives and Small and Medium Enterprises, and Minister of Transportation. In agriculture sector, it is noted that Regulation No. 16 Year 2013 on Guidelines for Agricultural Extension Information Management System in Ministry of Agriculture was issued by the Indonesian Ministry of Agriculture to provide guidelines on the use of online platforms, such as cyber extension, Simluh, and Simpoktan. Afterwards, two national policies and a national plan were adopted to apply digital agriculture technologies in the ground.

The GoI has also open opportunities for the development of agriculture 4.0 into practicies through National Movement of 1000 Digital Startups, Making Indonesia 4.0, and One Data Initiatives with support from these policies and plan. The opportunities also provide millennials, for instance, to develop their own business, entrepreneur, or startups. This is also supported with data from the World Economic Forum (2019) reporting that In Indonesia, 35.5% of share of youths in Indonesia aspire to be an entrepreneur. However, within implementing digital agriculture into practices, the GoI are suggested to consider the existing challenges, such as: labour alteration, data protection and cybersecurity, digital divide issues, digital education and capacity building development, integration of digital technologies research and practices, sustainable mechanism for digital actualization, and public and private partnership. These challenges are also identified by Soeparna et al. (2018) study, stating some hurdles in implementing IoT for e-agribusiness, namely; security issue, data privacy, devices complexity, costly devices, and skilled human resources. Digital divide is also still considered as a major issue as using digital technologies in Indonesia, particularly, because of the Indonesian demographic, having more than 18,000 islands with diferent equality to access and use the technologies. About 50% of forest farmers in Gunungkidul Yogyakarta, for example, had a high level of digital divide, and only farmers with high educational level and income who could utilize digital devices optimally to meet their lifestyle needs (Dewinta et al. 2019).

Digital agriculture practices

Research and innovation in digital agriculture need to be applied into practices with support from the GoI strategies (initiatives, national plans, and policies) as highlighted in Table 3. In Indonesia, there are digital agriculture-based companies (startups, businesses, industries, and SMEs) established to support the development of agriculture 4.0. From this study, an interactive map was successfully developed and can be accessed at this link: https://agriculture40companies.gis.co.id/. That map consists of the distribution of digital agriculture companies, name of companies, location of companies, brief information of companies, types of digital technologies used, year of establishment, and references. That map is very useful to provide information on how far digital technologies (types and utilization) has been developed and applied in food and agriculture sector in Indonesia.

Besides that map, an thematic map was also made as seen in Figure 1. From this study, it can be seen that most of the digital agriculture companies are concentrated in Java island, and followed in Sumatera island. Other islands (Kalimantan, Sulawesi, and Papua) are not found to find the companies although the companies can reach these islands through using internet for their services and products marketing. For instance, food delivery services from Gojek (GoFood) and Grab (GrabFood) have been widely used in Kalimantan, Sulawesi, and Papua. Even, during the pandemic, the apps of these unicorns has been benefited as an online food delivery for MSMEs players and consumers. The apps can be used to enhance MSMEs performance and can be an alternative media for transactions to maintain and improve business continuity during the pandemic (Nurlinda et al. 2021). Furthermore, it can be seen that food delivery demand of these start-up unicorns increased about 10% for their services (Candra et al. 2021). During the implementation of social restriction, TaniHub and Sayurbox also recorded a three-fold increase in transactions. To maintain the availability of food products marketed during the pandemic, these startups developed several methods, such as planting program, 1000 farmers cooperation, farmers support (funding, technical assistance, and profit and loss calculation).

The identified companies harness digital technologies for e-commerce, farmers advisory, mechanization platforms, digital marketplace, traceability, food delivery, and or peer-to-peer lending (Table 4 and Supporting Data 2). Examples of digital technology uses in certain companies are summarized in Table 4. These companies are mostly headquartered in Java Island although some digital technology features, such as mobile apps, iOS platform, and smartphone, can be accessed in other Indonesia’s islands.

Table 4. Examples of digital agro-food companies in Indonesia

Name of company	Digital technology used	Types of company	Brief information of company
Gojek (GoFood), Grab (GrabFood), Traveloka (Traveloka Eats) and Shopee (ShopeeFood)	Artificial intelligence, and IoT-enabled GPS, smartphone (apps)	Food delivery services	These companies are a food delivery online platform allowing consumers to order, choose, and deliver food from certain restaurants/shops/markets through a smartphone without the direct presence of the consumers.
Warung Pangan and Shopify (Food and Beverages E-commerce)	Mobile apps, website, and cloud	E-commerce	These e-commerces facilitate suppliers, farmers, millennial farmers, entrepreneurs, and individuals who works for food and agriculture sector to market their agriculture commodities and produces through website or other electronic platforms.
TaniHub, Chilibeli, Agromaret, Rarali.com, and Eden Farm	Artificial intelligence, cloud computing, mobile apps and android, iOS platform, and website	Digital marketplace / e-marketplace	These online marketplaces provide an easy transaction process through digital technology features for trading agriculture commodities (fruit, vegetables, machines/infrastructures, and services) with connecting farmers and producers to retailers, wholesalers, and individual customers.
eFishery, KARSA, NeuraFarm, and Biops Agrotekno (Encomotion)	IoT, smartphone, mobile apps, artificial intelligence, drone, and satellite	Farmer advisory	These startups provide solutions and services for farmers and farming companies based smart and precision agriculture intended to increase agriculture productivity and efficiency, and to provide recommendations for policy-decision makers (at governmental level).
TaniFund, Crowde, iGrow, Tanijoy, Mekar, iTernak,and Eragano	Website, smartphone, mobile apps, IoT, and blockchain	Peer-to-peer lending	These platforms is a lending platform that provide financial support for Indonesia’s farmers through connecting them with investors.
HARA, Koltiva, and MSMB Indonesia	Big data, artificial intelligence, blockchain, GIS, IoT, mobile software apps, and cloud-based website	Traceability	These startups provide valuable data and services for farmers or related stakeholders within making decisions and guidances for agriculture development.
PanenID, AgroDrone, and Agrito	GIS, drone, and IoT	Mechanisation and automation services	These start-up companies provide products and or service for agriculture mechanizaton and automation.

Table 4 also shows that these start-up companies have utilized one or more digital technologies integrated each, such as big data, artificial intelligence, GIS, GPS, drone, IoT, cloud computing, blockchain, mobile apps, smartphone, and satellite. In addition, digital marketplace is the most dominated field for start-up companies in Indonesia, followed with peer-to-peer lending and farm advisory. In particular issue, the Financial Services Authority (OJK) issued Regulation No. 77/POJK.01/2016 about information-technology based money lending services, and the enactment is purposed to boost the growth of the lending services and to create a new financing alternative for public. As of 10 June 2021, there are 125 peer-to-peer lending companies registered under OJK; and in agro-food sector, TaniFund, Crowde, iGrow, Mekar, and iTernak were registered.

Covid-19 pandemic implications on Indonesia digital agriculture

The Covid-19 pandemic has altered the development of food and agriculture sector in Indonesia. This study showed that political strategies have been taken to address the pandemic as highlighted in Table 3. Limited agro-food-based strategies are identified to address the pandemic, namely: 1) implementation of National Movement of 1000 Digital Startups: The Digital Energy of Asia, 2) Satu Data Indonesia regulated under the President Regulation No. 39 Year 2019 on One Data Initiative, and 3) STRANAS KA: National Strategy for Artificial Intelligence 2020-2045. The last two strategies have also been conformed with the presence of the post-pandemic. Most activities of these strategies are changed through online rather than these of face-to-face strategies. In addition, national activities proposed under these strategies are presumably suspended.

Under the National Movement of 1000 Digital Startups, a website was created and can be accessed at https://1000startupdigital.id/tentang/. As of 16 November 2021, there are more than 1,160 startups, which include agro-food start-up companies, in 20 cities; and online activities (seminar, workshop, and other capacity building) are still performed online during the pandemic. According to Ministry of Communication and Information (2021), the pandemic has the potential to create a great momentum in accelerating and developing digital startups. Purbasari et al. (2021) also stated that the GoI encourages SMEs to proactively connect with digital platforms, especially to survive the Covid-19 pandemic. Their study also revealed that during the pandemic, Digital User Citizenship element is still in a fairly weak position but Digital Technology Entrepreneurship and Digital Multisided Platform are in a very promising position to continuously grow along with the increased digital SMEs and the widened online market base. However, Indonesia’s startups have decreased starting about 2,400 companies in 2019 to 2,311 companies in 2021 but has still ranked among the world’s five biggest startup centers.

Some Indonesia’s start-up companies have applied strategic measures to address the Covid-19 pandemic, such as business model changes, work performance and behaviour management, new digital features addition, brand awareness campaign, organisational changes, and financial arrangements. For instance, according to Google, Tamasek, and Bain&Company (2021), 72% consumers are more preferable to use digital food delivery service during the pandemic because it is more convenient and easier to use. Gross Merchandise Value (GMV) in transportation and food sector has experienced double-digit growth since 2020, and it is projected to increase about 25% from 2021 to 2025. Contactless food delivery platforms (GoFood, GrabFood, ShopeFood) are still highly benefited during the pandemic to prevent the transmission of the Covid-19 diseases and to avoid human-to-human interactions. Muttaqin et al. (2020) also reported that there is a change in the pattern of work performed by startup companies in running their business so that good control and leadership are needed for employees. Pramono et al. (2021) also studied that during the pandemic, start-up behaviors (agility, entrepreneurship capability, business transformation, and opportunity) had the greatest influence on organizational structure characteristics and had a partial affect on start-up performance. However, leadership technology did not have a significant effect on start-up performance.

Similar to the 1000 Digital Startups Program, The Secretariat of One Data Indonesia also always update their datasets, particularly on food and agriculture, to the One Data Indonesia portal (https://data.go.id/) during the pandemic and post-pandemic. In STRANAS KA 2020-2045, food security is one of the main targeted area for AI implementation. The strategy has also adjusted the pandemic and the New Normal era with planning several health, research, education, and bureaucracy activities to address the Covid-19 implications.

Digital agriculture practices have been utilized to embody agriculture 4.0, including smart farming, and precision farming. The practices have been accelerated to develop, most notably, during the Covid pandemic and the New Normal era. Integrated into companies (MSMEs, industries and startups), these digital technologies have been used for e-commerce, farmers advisory, mechanization platforms, digital marketplace, traceability, food delivery, and or peer-to-peer lending. However, these companies are mostly headquartered in Java island, and they need to scale-up and up-scale in other Indonesia’s islands to expedite the implementation of agriculture 4.0. The development of startups need governmental support, which is mainstreamed in the national strategies, including: national action plan, policies, initiative, and vision. However, very limited agro-food - based strategies could accommodate the importance of food and agriculture digitalization during pandemic and post-pandemic. It was also found that most of the strategies contain the issues only pre-pandemic.

Conflict of Interest

The authos declare that there is no conflict of interest

Ethical Approval

N/A

Competing interests

The authors declare that they have no known competing financial interests or personal relationships that could have appeared to influence the work reported in this paper.

Authors' contributions

Ms. Silvia Uthari Nuzaverra Mayang Mangurai was responsible for leading this study and providing administrative propositions to expedite the implementation of this study. Ms. Eti Artiningsih Octaviani had responsibilities for carrying out systematic evidence evaluation of the agri-food tech startups in Indonesia. Ms. Anidah had responsibilities for assisting the manuscript development and rendering the study analysis. Mr. Achmad Solikhin was designated to draft the manuscript for publication and provide guidance for the research team members in finalizing this study. Mr. Refianto Damai was appointed to provide academic checks and reviews for the manuscript based on his expertise in digital agriculture. Ms. Lora Septrianda Putri had the responsibility of helping design the manuscript and checking the errors occurring in the manuscript. Mr. Tegar Kurniawan had responsibilities to help check and improve English grammar and to interpret the data into visualized information.

Funding

This study was financially granted by the SEAMEO BIOTROP's Research Grant Scheme for Ph.D. Candidates, and the grant was given to Dr. Silvia Uthari Nuzaverra Mayang Mangurai.

Availability of data and materials

All the datasets are deposited into supporting materials/files, which are available online for the public.

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Overview of Digital Agriculture Technologies in Indonesia: Policies, Implementation, and Covid-19 Relation

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