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Home Economic

Indonesia Faces Coconut Shortage Ahead of Eid, Prices Surge by 50%

by Raidi
2025-03-24
in Economic
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Coconut Shortage

(Pinterest)

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Jakarta, Indonesia Sentinel — Indonesia is experiencing a significant shortage of whole coconut, causing prices to surge sharply in recent weeks. As the Eid al-Fitr holiday approaches, vendors are struggling to secure supplies, driving up costs for consumers.

According to a report by Kontan.co.id, the price of whole coconuts has jumped by 50%, reaching Rp15,000 ($0.95) per piece, up from Rp10,000 previously. The spike is largely attributed to rising export demand and domestic industry needs.

Responding to the shortage, Indonesia’s Trade Minister Budi Santoso pointed to the high demand for coconut exports as a major contributing factor.

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“There is strong demand for coconut exports, and at the same time, domestic industries also require large quantities. With so many exports happening, local industries sometimes struggle to secure enough supply,” Budi said at the Ministry of Trade on Friday (March 21).

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According to Antara, data from Indonesia’s Central Statistics Agency (BPS) show the country exported 71,077 tons of whole coconuts in their husks between January and February 2025. China was the top destination, receiving 68,065 tons worth $29.5 million, followed by Vietnam (2,180 tons), Thailand (550 tons), and Malaysia (280 tons).

Indonesia exports 22 different coconut-based products, including whole coconuts, coconut meal, coconut oil, coconut milk, shredded coconut, coconut water, coconut flour, coconut husk, coconut sugar, and coconut shells. Unlike some agricultural products, coconut exports do not require bilateral protocol agreements between countries.

Government Response

Responding to the situation, Trade Minister Budi Santoso stated that the government is evaluating potential measures to address the shortage and stabilize coconut prices.

“We need discussions involving coconut farmers, distributors, and industry players to find a solution. The price increase from Rp10,000 to Rp15,000 per piece is significant, and we must assess the situation from all angles,” he said.

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The price surge comes at a particularly sensitive time, as demand for whole coconuts rises during the Eid holiday season. Coconut milk is a key ingredient in many traditional dishes prepared for the celebrations.

Despite concerns over rising prices and supply shortages, the government has yet to announce specific policies to regulate coconut exports or boost domestic supply. For now, vendors and consumers alike are left grappling with the soaring costs, uncertain when relief might come.

 

(Raidi/Agung)

Tags: coconutExportIndonesia newsShortage
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