Indonesia Accelerates Coconut Downstreaming Initiative

Strategic Expansion into Coconut Processing

The Indonesian government has launched an ambitious plan to boost coconut downstreaming through strategic investments in processing infrastructure. Minister of Agriculture Andi Amran Sulaiman revealed that the program is part of a broader effort to expand downstream processing beyond mining to other sectors such as marine and plantation products.

Key Developments in Coconut Processing

1. One coconut processing plant is already operational in North Maluku
2. Two additional plants are expected to commence operations in 2026
3. A new plant is being developed in Morowali, Central Sulawesi, in collaboration with state-owned enterprises
4. The downstreaming initiative is expected to increase the value-added of coconut products by up to 100 times

Government Coordination and Implementation

The project involves close coordination between various government ministries and agencies. Minister Amran is working alongside Minister of Investment and Downstreaming/Chairman of BKPM Rosan Roeslani and relevant state-owned enterprises to implement these plans. The collaborative effort demonstrates the government's commitment to developing the coconut industry through both public and private sector participation.