Abstract
Sago has long been considered to be a potential food crop in Indonesia, but the government and people have given most of their attention to rice, resulting in inadequate attention to the development and farming of sago in the province of Riau, Indonesia. A study to analyze the potential and prospects for the development of sago agribusiness was conducted at Tanjung village, one of the sago production centers in Riau. The results show that sago agribusiness has a strong regional potential as an alternative crop for food and as a base material for agro-industries. The development of sago agribusiness would support food diversification and agro-industries and, consequently, lead to increased economic activity of all of those involved.