06 Jun 2016

Coffee Giant, but Indonesia can't control the price

Coffee Giant, but Indonesia can't control the price. Besides Brazil, Vietnam and Colombia, Indonesia is the world's largest coffee producer.
In fact, Acting Director General of Foreign Trade at the Ministry of Trade, Karyanto Suprih, said that when Brazil experienced crop failure several years ago, Indonesia was the major supplier of the world's coffee needs.
Unfortunately, to date the market price of Indonesian coffee is still dictated by other countries.
For the Robusta type of coffee, the price of coffee commodities refers to the futures exchange in London, England.
Meanwhile, for the Arabica type, the price of coffee commodities refers to the futures exchange in New York, United States.
Karyanto hopes that going forward Indonesia can become the price-maker for coffee commodities.
`This is being planned. If possible, that would be great because we are the world's primary coffee producer,` said Karyanto in Jakarta, Friday (6/3/2016).
Karyanto hopes that discussions conducted by the national coffee producers association can run smoothly and reach agreement.
If successful, coffee will follow the tin commodity which has already been traded via futures exchange.
Met at the same meeting, Deputy Chairman of the Association of Indonesian Coffee Exporters (AEKI) Pranoto Soenarto mentioned that currently national coffee production is recorded as reaching 600,000 tons.
400,000 tons of which were exported.
Pranoto very much regrets that Indonesia has not been able to be the determinant of world coffee prices.
In fact, countries that are not coffee producers are the ones determining the prices.

Writer
: Estu Suryowati

Editor
: M Fajar Marta

Besides Brazil, Vietnam and Colombia, Indonesia is the world's largest coffee producer.

In fact, Acting Director General of Foreign Trade at the Ministry of Trade, Karyanto Suprih, said that when Brazil experienced crop failure several years ago, Indonesia was the major supplier of the world's coffee needs.

Unfortunately, to date the market price of Indonesian coffee is still dictated by other countries.

For the Robusta type of coffee, the price of coffee commodities refers to the futures exchange in London, England.

Meanwhile, for the Arabica type, the price of coffee commodities refers to the futures exchange in New York, United States.

Karyanto hopes that going forward Indonesia can become the price-maker for coffee commodities.

"This is being planned. If possible, that would be great because we are the world's primary coffee producer," said Karyanto in Jakarta, Friday (6/3/2016).

Karyanto hopes that discussions conducted by the national coffee producers association can run smoothly and reach agreement.

If successful, coffee will follow the tin commodity which has already been traded via futures exchange.

Met at the same meeting, Deputy Chairman of the Association of Indonesian Coffee Exporters (AEKI) Pranoto Soenarto mentioned that currently national coffee production is recorded as reaching 600,000 tons.

400,000 tons of which were exported.

Pranoto very much regrets that Indonesia has not been able to be the determinant of world coffee prices.

In fact, countries that are not coffee producers are the ones determining the prices.