Commodities

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Coffee

World coffee consumption is increasing with Indonesia being the third largest coffee producer (after Brazil and Vietnam). A clear opportunity exists for Indonesia to increase production volume and quality to meet the international demand for speciality coffee. East Java has an estimated 54,300 farmers, and its coffee production area is equivalent to 8.1 percent of the national production area. NTT province has an estimated 51,752 coffee farmers and the coffee production area comprises 57 percent of the national production area. Both areas have a high growth potential for speciality coffee.

The challenges facing farmers in these areas are: (1) low productivity due to poor farming and post harvesting techniques; (2) lack of access to capital to invest in post production equipment. PRISMA has partnered with PT Indokom to work with local processing units to improve local farmer agricultural and harvesting practices to meet the certification requirements for PT Indokom's speciality coffee. The project has also partnered with Bank NTT to provide a credit scheme for the coffee processing units to grow their business as decentralised processing facilities for coffee cherries.