Agrarian problems are consequences and capitalism is the cause, which is in place when
one wants to explain the long history of agrarian issues in
Indonesia. The agrarian politics had the origin in the advent of VOC
in the medieval Indonesian archipelago, which continued to the Dutch colonial administration, Sukarno era (Old Order), Soeharto era (New Order), up to the contemporary Indonesian administration. The politics of agrarian issues reflects the approaches and measures of the ruling power to respond to capitalist development, which requires sharpness and solidness to face capitalism. Such sharpness and solidness are necessary in line with the proposition: 'if capitalism is thrown out of the door, it comes in through the window.' The position taken by the ruling power is materialised in the law, infrastructure, and the forms taken by the state. The state's position reflects whether the state puts first the sovereignty of the people, the state, or the dominating power taken by the capital.