Indonesian Political, Business & Finance News

Trade Minister: Banyumas Palm Sugar Poised to Dominate Global Market

| Source: ANTARA_ID Translated from Indonesian | Trade
Trade Minister: Banyumas Palm Sugar Poised to Dominate Global Market
Image: ANTARA_ID

Trade Minister Budi Santoso stated that crystal coconut sugar, or ‘gula semut’, from Banyumas Regency, Central Java, has the potential to dominate the global market due to rising global demand and expanded export access through various international trade agreements.

“Hopefully, Banyumas coconut sugar or gula semut will become the world’s largest supplier. In the future, if downstreaming occurs, the added value will increase even further,” said Berd Santoso during the departure ceremony of a coconut sugar export at the PT Integral Mulia Cipta (IMC) premises in Sokaraja, Banyumas, on Thursday.

The export, valued at 46,000 US dollars, is destined for Chicago, United States, and forms part of an effort to expand the market for organic coconut sugar products from Banyumas.

Furthermore, the Trade Minister noted that this export demonstrates that village-based products are capable of competing in international markets while simultaneously supporting the growth of national exports. He added that the government continues to expand market access for Indonesian products through various trade agreements.

In this regard, the United States remains one of the primary markets, as it recorded the largest trade surplus for Indonesia in 2025, amounting to 18.11 billion USD from a total export value of approximately 30.9 billion USD. “Labour-intensive manufacturing products such as footwear, garments, electronics, and including coconut sugar, have a large market in America,” he said.

In addition to expanding market access, the Minister stated that the Ministry of Trade is optimising the role of 46 Indonesian trade representatives abroad, consisting of Trade Attachés and the Indonesian Trade Promotion Centre (ITPC), to assist businesses in finding markets and increasing exports.

He also emphasised the importance of strengthening certification systems and the recognition of product quality standards through Mutual Recognition Arrangements (MRA), ensuring that Indonesian certification and laboratory testing results are accepted by destination countries.

Speaking after the export departure, Budi noted that the export prospects for coconut sugar remain very high; approximately 98 per cent of PT IMC’s coconut sugar production is intended for export markets and already reaches 56 countries.

He noted that Indonesia currently has around 20 implemented trade agreements, with 11 others still under negotiation, including those with the Eurasian Economic Union and Canada. “We want companies like IMC to continue to grow and develop. Not only should the number of countries increase, but the export volume should also rise,” the Minister added.

In his remarks, the Regent of Banyumas, Sadewo Tri Lastiono, stated that this export departure serves as an important momentum to strengthen Banyumas’ position as one of the largest coconut sugar production centres in Indonesia. He expressed appreciation for the Ministry of Trade’s support in developing regional flagship commodity exports and commended PT IMC’s consistency in maintaining product quality, empowering local farmers, and expanding international marketing networks.

According to the Regent, IMC is a pioneer in the development of organic coconut sugar in Banyumas through the coaching of cooperatives and farmer groups that have held international organic certification since 2016. This programme allows farmers to earn additional income in the form of a premium CSR from buyers in Germany, provided the raw materials originate from certified organic cooperatives.

Despite facing challenges during the COVID-19 pandemic due to the rejection of several export containers because of product standard discrepancies, the cooperatives and the company have improved their governance so that product quality once again meets international market standards. “This export departure is expected to serve as an inspiration for all parties to continue innovating and collaborating so that Banyumas products become increasingly recognised and sought after in the global market,” said the Regent.

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