Indonesian Political, Business & Finance News

Ministry of Transmigration's Strategy to Target Rp 137 Trillion Durian Market Without Relying on China

| | Source: KOMPAS Translated from Indonesian | Trade
Ministry of Transmigration's Strategy to Target Rp 137 Trillion Durian Market Without Relying on China
Image: KOMPAS

The government, through the Ministry of Transmigration, is finalising a blueprint for developing a horticulture economic corridor in Central Sulawesi, with durian and coconuts as the primary commodities. This strategy is designed to transform the eastern Indonesian region into a centre of production excellence with global competitiveness. Although China is currently the main export destination, importing nearly 7 billion US dollars worth of durian annually, the national policy is not structured to be trapped in dependence on a single market. Minister of Transmigration (Mentrans), Muhammad Iftitah Sulaiman Suryanagara, emphasised that the development of the economic corridor in Parigi Moutong, Poso, and Sigi is an effort to strengthen the national production foundation comprehensively. This includes increasing orchard productivity, standardising quality, strengthening the cold chain, and implementing strict traceability systems. Iftitah stated that China is indeed an important market opener. However, the government has never built this economic corridor with the logic of depending on one buyer. “That is too dangerous. If trade barriers occur there at some point, this corridor remains relevant because its foundation is regional competitiveness,” Iftitah told Kompas.com exclusively on Thursday (23/4/2026). According to him, the main challenge does not lie in the availability of fruit, but in the weaknesses of the export system that has lagged behind regional competitors. “Thailand wins not because they have more trees; they sell the system. Vietnam sells speed. Indonesia must sell quality and supply certainty,” he continued. In this economic corridor blueprint, hilirisasi is the non-negotiable end goal. Although exports are currently dominated by frozen forms due to quarantine protocol constraints, the government is pushing for the development of processing industries for derivative products such as pulp, puree, and bakery raw materials. The Ministry of Transmigration is collaborating with local governments to provide conveniences for the business world in building processing industries in Central Sulawesi. The aim is to keep the economic added value within the country.

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