Germany Bought Huge Amounts of Organic Coconut Sugar Worth of Rp 10 billion

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Flores Farm GmbH, facilitated by Ministry of Trade Republic of Indonesia, bought huge amounts of organic coconut sugar worth of USD 800 thousands from PT. Profil Mitra Abadi (PMA) for a period of one year ahead.

One of the Director in the Directorate General of National Export Development of the Ministry of Trade, Merry Maryati, expressed her gratitude and appreciation on this business transaction. She stated, “Ministry of Trade Republic of Indonesia will continue to support the diversification of Indonesia’s export products, particularly organic products, to expand their market to the prospective European region and Germany in particular” while attending the contract signing between the two parties in Purwokerto, Central Java.

European consumers are known to be very detail in choosing products. They tend to consider the reputation of the products as well as countries of origin, particularly food products. Organic products are healthy and safe, rather than artificial sweetening products. Merry Maryati also stated, “food products that come with health, fair trade, and organic certificates are trusted by the European consumers.

Here lies the comparative advantage of PT. Profil Mitra Abadi in which not being a profitoriented company, but rather as a company that taking the welfare of farmers into account. There are approximately 5,000 farmers involved from various regions of Indonesia”. In Indonesia, coconut has a very high economic value due to the variety of products that can be produced from it in order to fulfill the economic, social, and cultural needs. Almost all part of a single coconut tree can be utilized to produce nata de coco, soy sauce, coconut water, dessicated coconut, virgin coconut oil, coconut milk, and many more.

This sector also offers job opportunities from both plantation and industrial sector. In 2015, Export of Indonesia’s coconut sugars shows positive trend for the last five years (31%) worth of USD 38,23 million. The biggest five export destinations are the United States (64,48%), Netherlands (9,18%), Australia (4,56%), South Korea (3,86), and Canada (3,18%). Germany is in the 14th place.