The Indonesian Export Financing Agency (LPEI), also known as Eximbank, is promoting the export of organic agricultural products such as fruits and spices to various countries, particularly in Europe and the US. PT Mega Inovasi Organik (MIO) is one of the debtors actively advancing Indonesian organic products on the global stage. Dippos Naloanro, the owner and director of MOI, stated that since its establishment in 2011, the company has aimed to build an organic farming ecosystem in Indonesia. He noted that during the Covid-19 pandemic, while the demand for food declined, the global organic product market grew by 10%. This growth was driven by increased awareness and concern over health issues, particularly regarding chemicals used in products. "I believe that in the next 20 years, organic products will take over as the world moves towards organic goods," said Naloanro on Friday, 14 June 2024.
He highlighted the significant export potential for organic products, citing that the European market can absorb up to 1 ton per week of fresh organic passion fruit. According to him, international markets favor organic products because they are healthier and free from harmful chemicals. To support this demand, MOI collaborates with local farmers, providing education and assisting them in obtaining organic certification for both domestic and export markets. Currently, MIO partners with over 2,500 farmers across Sumatra, Java, Bali, and East Nusa Tenggara. These partnerships focus on producing a variety of integrated organic products from a single plot of land, including coconut sugar, organic fruits, spices, and rice for the European, US, and Asian markets. LPEI projects that the global organic food market will reach USD 546.97 million by 2032, with a compound annual growth rate (CAGR) of 11.6% from 2023-2032. With its abundant natural resources, Indonesia boasts fertile agricultural land, giving it a competitive edge in exporting organic products like fruits and spices.
