Indonesia’s Black Pepper Export Up 44.5%

Indonesia’s Black Pepper Export Up 44.5% to US$17mn in Q1

Black pepper exports increased in the first quarter of 2022 on the back of global economic recovery and the COVID-19 pandemic being brought under control, Indonesian Export Financing Agency’s (LPEI’s) Indonesia Eximbank (IEB) Institute stated.

“The increasing demand for spice products, including black pepper, is due to the global economic recovery as the COVID-19 pandemic subsides,” LPEI Institute IEB Division Head Rini Satriani noted in a statement here on Wednesday.

Exports of ground and unground black pepper in the first quarter of 2022 had reached US$17 million, up 44.05 percent as compared to US$11.8 million during the same period a year earlier.

The increase in export value of Indonesian black pepper was also in line with the export volume during that period that had reached 4.85 thousand tons, or an increase of 10.16 percent as compared to 4.4 thousand tons during the corresponding period last year.

“Meanwhile, the competitiveness of Indonesian black pepper is also quite high in the global market, becoming a competitive advantage for Indonesia in exporting, which is also supported by the utilization of black pepper products in the food and beverage industry,” according to Satriani.

Black pepper is one of the commodities from the plantation sector with an important role in Indonesia’s economic growth. As an export commodity, black pepper contributes to generating foreign exchange, boosting the people’s income, and providing job opportunities for farmers.

Satriani noted that LPEI or Indonesia Eximbank, as a Special Mission Vehicle (SMV) of the Finance Ministry, was also involved in supporting the increase in black pepper exports through a series of consulting service programs, including the inauguration of the Black Pepper Foreign Exchange Village Program.

Based on data on Indonesian black pepper exporters in 2020, Lampung Province is the largest contributor to black pepper exports in Indonesia, with an estimated 58.33 percent of the total value of Indonesia’s black pepper exports.

Hence, LPEI considers Lampung Province as being a potential area for increasing export capacity through the Black Pepper Cluster Foreign Exchange Village Program that is currently being implemented with the Ministry of Industry.


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