JAKARTA: The International Islamic Trade Finance Corporation (ITFC), a member of the Islamic Development Bank (IsDB), is actively engaged in training Indonesian coffee producers in sustainable farming practices to help them expand their presence in the global market.
Indonesia stands as the fourth-largest coffee producer worldwide and the second-largest in Asia, contributing to approximately seven percent of the global coffee output. In 2022, Indonesia exported around 434,000 metric tons of coffee, valued at over $1.1 billion, according to government data. Recognizing the significance of this sector, the ITFC, headquartered in Jeddah, has been collaborating with the Sustainable Coffee Platform of Indonesia (SCOPI) through its Master Trainer Upgrade programs.
SCOPI aims to enhance sustainable coffee production in Indonesia, with a target of increasing output by 15 percent by 2026. The training initiatives encompass various aspects of sustainable production, quality standards, and market readiness for coffee producers.
IsDB’s Efforts to Enhance Indonesia’s Coffee Production
The ITFC emphasized that its partnership with SCOPI aligns with its broader mission to stimulate sustainable economic growth in its partner countries. By enhancing the coffee value chain from cultivation to export, this collaboration has the potential to drive poverty reduction, economic diversification, and increased incomes throughout the coffee industry.
“This strategic collaboration is poised to provide Indonesian coffee producers with improved market access, equipping them to meet international standards and cater to global market demands effectively,” the ITFC stated. Additionally, the corporation expressed its eagerness to initiate further projects in Indonesia, facilitating broader trade advancement, economic progress, and enhanced livelihoods.
SCOPI, which focuses on forging partnerships within the coffee industry to benefit farmers, lauded its cooperation with the ITFC as a driving force for positive change that involves all stakeholders in the coffee value chain. Furthermore, SCOPI expressed optimism about expanding similar partnerships across the Middle East, as the region is a priority export destination for Indonesian coffee.
“The Middle East is a priority export destination for Indonesian coffee,” SCOPI noted. “We see that there will be more opportunities for cooperation with even more organizations in the Middle East.”
