Indonesia is one of the largest producers of shallots in the world. Not only securing supply for domestic consumption, Indonesia is also known as one of the main exporters of shallots to various countries.
In this article, we will discuss how Indonesia has succeeded in dominating the shallot export market and its future opportunities.
Indonesia’s Shallot Export Performance
According to data from the Ministry of Agriculture, Indonesia’s shallot export volume in 2023 reached 9.43 thousand tons, valued at USD 11.67 million, marking a significant increase compared to the previous year.
The main export destinations for Indonesia are Thailand, which accounts for USD 8.05 million or 68.30% of the total export value.
Singapore follows with 12.53% (USD 1.47 million), Malaysia with 7.80% (USD 920 thousand), Taiwan with 2.62% (USD 309 thousand), and Japan with 0.19% (USD 22 thousand).
This increase is largely due to the government’s efforts in supporting farmers by providing access to more advanced agricultural technology.
Challenges in Exporting
Despite being a major player in the global shallot market, Indonesia still faces several challenges, such as price fluctuations in international markets and dependence on planting seasons influenced by climate.
Additionally, competition from countries like China and India demands that Indonesia continuously improve production efficiency.
Therefore, with strong support from the government and innovations implemented by farmers, Indonesia’s shallot sector is expected to keep growing.
The Impact on the Economy
Shallot exports contribute significantly to the national economy. In a recent report by the Ministry of Trade, shallots are among the top 10 agricultural export commodities generating substantial foreign exchange for the country.
The younger generation, especially Gen Z, increasingly interested in sustainable agriculture, can view this sector as a promising opportunity.
Conclusion
With great potential and proper support, Indonesia can continue to strengthen its position as the world’s largest shallot exporter.
For young generations, involvement in the agricultural sector can be a strategic step to support food security and advance Indonesia’s economy in the future.
