Coconut Sector Development Program

Background

The upstream sector of the coconut industry still faces various challenges, such as low productivity, lack of plant regeneration, and limited access for farmers to technology and financing. The upstream coconut sector development program aims to enhance the competitiveness and welfare of coconut farmers in Indonesia.

Program Objectives

The BPDP upstream coconut sector program aims to:

1. Increase Coconut Productivity – Through replanting programs and the use of superior seedlings that are more productive and pest-resistant.
2. Improve Farmer Welfare – Providing farmers with access to financing, training, and modern technology to enhance harvest yields and income.
3. Ensure the Sustainability of the Coconut Industry – Promoting environmentally friendly and sustainable farming practices to maintain the longevity of plantation resources.
4. Support Coconut Product Downstreaming – Ensuring an adequate supply of raw materials for the domestic coconut processing industry, thereby increasing the added value and global competitiveness of Indonesian coconut products.

Program Implementation

The development of the upstream coconut sector involves various strategic initiatives, including:

• Replanting of Coconut Trees – Providing high-quality seedlings and technical assistance to farmers to replace old and unproductive coconut trees.
• Development of Supporting Infrastructure – Establishing nurseries and storage facilities to support the distribution of quality seedlings and optimal harvest storage.
• Training and Mentorship – Conducting training for farmers on modern cultivation techniques, land management, and pest and disease control.
• Financial Support – Disbursing funds through grant schemes or soft loans sourced from export levies and other financial programs.

Expected Impacts

With the implementation of this program, the following outcomes are expected:

• Increased National Productivity – Higher domestic coconut production, reducing reliance on imports.
• Improved Farmer Welfare – Farmers gain better access to technology, financing, and markets, increasing their income.
•  Enhanced Competitiveness of Indonesian Coconut Products – With a stable and high-quality raw material supply, the downstream coconut industry can grow and compete globally.
• Environmental Sustainability – The adoption of sustainable farming techniques will maintain ecosystem balance and extend the productive lifespan of coconut plantations.

The upstream coconut sector development program by BPDP is a concrete step in strengthening Indonesia’s national coconut industry. With the right support in infrastructure, technology, and financing, Indonesia can reclaim its position as a leading global coconut producer. BPDP remains committed to ensuring the sustainability of this sector for the well-being of farmers and sustainable economic growth