Indonesia Targets Becoming Major Global Exporter of Downstream Coconut Products

Minister of National Development Planning Rachmat Pambudy stated that Indonesia is targeting becoming a major exporter of downstream coconut products in the global market. Speaking at a webinar in Jakarta on Wednesday, he emphasised that the goal is not only to achieve net exports but to become a primary exporter of coconut-based products and their derivative industries. ‘We are targeting to become a major exporter of downstream coconut products in the global market, so we can obtain the highest possible added value,’ he said. According to Rachmat, coconut downstreaming is part of the economic transformation agenda in the 2025–2045 National Long-Term Development Plan (RPJPN). The document designates coconut as a strategic national commodity expected to support the national industrial structure. To support implementation, the Ministry of National Development Planning (Bappenas) has prepared a Coconut Downstreaming Roadmap for 2025–2045. The industrial development strategy is directed towards creating an ecosystem supported by financing, research, innovation, standardisation, and incentive schemes. Rachmat noted that the strategy also aims to increase production capacity, strengthen human resources, secure energy supplies, and improve supply chains to boost the competitiveness of the coconut industry in the global market. In the medium term, the downstreaming focus will be on increasing productivity, diversifying products, and enhancing sustainable industrial utilisation. Data from the Indonesian Coconut Processing Industry Association (HIPKI) and the Ministry of Trade indicates that Indonesia is the world’s second-largest coconut producer after the Philippines, with national production estimated at 15 billion nuts in 2025, accounting for roughly 23 percent of global output. The data also projects that the export value of Indonesia’s coconut industry will reach 2.48 billion US dollars in 2025. Currently, around 9 billion nuts, or 60 percent of national production, are absorbed by the processing industry into derivative products such as copra, desiccated coconut, and coconut milk.