The Representative Office of Bank Indonesia in East Java Province is actively supporting the economic performance of the province. One consistent effort is boosting the sales of key commodities such as coffee. This year, Bank Indonesia is once again hosting the Java Coffee Culture (JCC). Acting Head of the Representative Office of Bank Indonesia in East Java Province, Bandoe Widiarto, explained that coffee is one of East Java’s main commodities with substantial potential. The potential is notably high not just within East Java but across the entire island of Java. "Coffee has become an integral part of the community’s life. On the other hand, coffee exports have also become one of Java's leading commodities, especially in East Java," he stated during a Media Discussion (BBM) in Surabaya yesterday (June 27). Out of Java's total coffee production of 99,000 tons, 48,000 tons come from East Java. Additionally, coffee bean exports from Java are still dominated by East Java, which holds an 86% market share.

However, Bandoe believes this is not yet ideal. The export of raw coffee beans significantly dominates the market, with unroasted coffee products comprising 28% of total exports. "This should be seen as an opportunity for further downstream processing of coffee commodities so that we can also enjoy the added value," he emphasized. According to him, for Indonesian coffee to be better absorbed by both domestic and export markets, three conditions must be met: quality, quantity, and continuity. These three aspects are essential for international buyers who require supply certainty. Therefore, Bank Indonesia East Java is hosting the fourth JCC. This event aims to increase market awareness among coffee industry stakeholders in Java. The pinnacle of the event is business matching with aggregators and potential buyers to enhance the performance of the coffee industry. "Our transaction target this year is IDR 16 billion. To achieve this, we have brought together 46 coffee-producing MSMEs and 70 potential buyers," he revealed.

Source: https://timexkupang.fajar.co.id/2024/07/01/bi-jatim-genjot-hilirisasi-komoditas-kopi/