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Fact Check: Is the US Facing Food Crisis Because It Has No Food Estates Like Indonesia?

Fact check - The United States (US) has not experienced a food crisis due to not establishing "food estates."

The United States is indeed experiencing a significant rise in food prices, with some estimates suggesting an increase of up to 100 percent over the past seven years. Content creator Benny Batara Hutabarat has claimed that this crisis is due to the absence of a food estate program similar to Indonesia's. However, a fact check by Tempo reveals that this claim is not supported by evidence.

US food prices have risen primarily due to external factors such as the COVID-19 pandemic, natural disasters, and geopolitical tensions. According to the Associated Press, the Consumer Price Index (CPI-U) for all urban consumers increased by 3.5 percent between June 2025 and June 2026, driven largely by food prices. This rise is the highest in half a century and has been exacerbated by supply chain disruptions, droughts, storms, and avian influenza outbreaks.

Additionally, geopolitical conflicts have disrupted global oil and fertilizer supplies, further impacting food prices.

Indonesia's food estate projects, initiated by the Joko Widodo administration and continued under President Prabowo Subianto, have aimed to increase domestic food production through large-scale agricultural development. However, the fact check reveals that these projects have not significantly contributed to curbing food prices in Indonesia. Inflation in volatile food categories, such as shallots, rice, and garlic, still reached 5.58 percent in June 2026, driven by declining production.

Benny Batara Hutabarat's assertion that the United States lacks the necessary infrastructure to address its food security issues is not supported by the evidence. The U.S. government, through various programs and policies, already supports private agriculture through insurance schemes, price protection, and market access. Additionally, the U.S. food and agriculture sector is predominantly privately owned, contributing significantly to the country's GDP and employment.

Thus, while the lack of a food estate project may not be the sole cause of the US food crisis, it is not the primary reason either.

Written by urgent.news from Tempo.co English's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

Read the original at en.tempo.co →

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