Indonesia Encouraged Solve the Cheaper Coffee Crisis Globally

Indonesia Encouraged Solve the Cheaper Coffee Crisis Globally
Agricom.id

29 February 2020 , 06:18 WIB

Agricom.id, JAKARTA – Starting his first mission after being successful chosen as the Board Chairman of International Coffee Organization (ICO) in 2019/2020, General Director of International Trade Negotiation (ITN), Ministry of Trade, Iman Pambagyo did visit to do consultation with the coffee stakeholders in London, United Kingdom, on 22—24 February 2020.

In the visit to the head quarter of ICO, General Director of ITN was accompanied by the officers in the Indonesian Embassy in London. As the Board Chairman, Iman met Director Executive of ICO (DE ICO), Jose Sette to discuss the meeting agenda of the 126th International Coffee Board which would be held on 27 April— 1 May 2020 in London. As one biggest coffee producer in the world, DE ICO did appreciate, support and hope the leadership of Indonesia in the ICO.

“ICO is important for Indonesia and in the meeting that would be held twice in this year, we want to make sure the relevance of ICO to get the solution on the cheaper coffee and the sustainability of coffee to give the massive advantages for the producers (farmers) and the consumers globally,” Iman said, as in the official statement to Agricom.id recently.

Besides accommodating the recent issues about the coffee globally, it would discuss the revision of International Coffee Agreement (which would end on 2 February 2021), such as, to optimize the role and partnership among the private sectors.

The crisis of coffee price globally in some few years decreases the farmers’ income for they have no ability to afford the high production costs. It gets worse by the climate change which also disturbs the production.

“As the chairman, we would emphasize that coffee is one agriculture commodity that mobilizes the economy in many countries, including Indonesia by making the employment, conquering the poverty that should be supported by three same pillars, they are, the economy, social, and environment,” he said.

To get the solution on the cheap coffee, ICO has made the task force of collaboration between the private and the government. Director of Negotiation of APEC and International Organization, Ministry of Trade, Antonius Yudi Triantoro would be one sherpa (representation) in the task force. “The membership of Indonesia in the ICO Task force representing Asia and Pacific reflects that the trust of the members of ICO from Asia to the role and contribution of Indonesia to develop the coffee sector in the world,” Yudi said. The mission of Indonesia in the task force is to help ICO to support the cooperation between the government and the private to get the practical solution which directly influences the welfare of the farmers and make sure that there would be increasing production, quality, and additional values of coffee sustainably.

General Director of ITN did some other meetings, such as, with the ICO Asia caucus (such as, India, Papua New Guinea (PNG), Vietnam, Philippine, Yaman) and the Ambassador of Brazil to the Multilateral and Commodity Organization in London – as the Group Chairman of ICO exporter to encourage the role of Asia in the ICO.

 

A Glance of ICO and the Statistic of Coffee from Indonesia

ICO is the main organization of coffee among the government which was made in 1963. It has 44 members from the coffee exporter and producer (within the markets reaching 98 percent of the total production in the world) and the coffee consumer/importer (within the contribution reaching 67 percent of the total consumption in the world).

70 percent of the world coffee production in were produced by 25 million coffee farmers in ICO. The main goal of ICO is to strengthen the coffee globally and develop it sustainably in the market based – environment to develop every member. The highest authority in ICO is in the decision of board which is held by General Director of ITN, Ministry of Trade, Indonesia.

General Director of ITN, Ministry of Trade was chosen as the Board Chairman of ICO in 2019/2020 by the decision of Board of ICO which was done on 23-27 September 2019 in London. General Director of ITN would supervise the important programs in the ICO, such as, some meetings in the 126th Board of ICO (April 2020) and the 127th meeting (September 2020); the 5th World Coffee Conference; also the CEO and Global Leaders Forum (CGLF) in Bengaluru, India in September 2020; and the  negotiation or review International Coffee Agreement (ICA) 2007.

Indonesia is the fourth biggest coffee producer in the world within the highest consumption in Asia and the second highest consumer between the producers after Brazil. Based on the coffee trade data in 2008—2018, the coffee production from Indonesia increased 17 percent and the consumption increased 248 percent within the average per capita reaching 1,54 kg/year. This substituted the status of Indonesia in the coffee sector in the world, which was only as the producer becomes the consumer too.

Besides the high coffee consumption nationally, the world demands on the coffee exports from Indonesia, namely Arabica. To support the high consumption and demand from Indonesia, the production and productivity, quality and additional value of coffee should be increased more.

One strategy to support the agriculture (coffee) in Indonesia is by joining the membership in ICO, which is involving and encouraging the ways to solve the cheap coffee and to increase the sustainable coffee by doing the agenda of the board and task force in ICO. (A2)

 

 

IKUTI BERITA LAINNYA DI GOOGLE NEWS.


TOP