Commodities

the agro-industry sector in Aceh offers several excellent commodities including coffee, cocoa, palm oil and patchouli

Investment is one of the keys to enhancing the economic development in Aceh, focusing in four major potential sectors (1) Agroindustry, (2) Energy and Infrastructure, (3) Tourism and (4) Aceh Investment Development Zones. 

These four sectors of Agroindustry have a strong foundation to be developed. Coffee, Patchouli, Cacao, Coconut, and Palm Oil are main commodities of Aceh. 

Coffee

Indonesia is the fourth largest coffee producer after Brazil, Vietnam, and Colombia and is known as home of the world’s finest coffee.

Total area of coffee plantations in Indonesia is approximately 1.240.000 Ha, which consists of 933.000 Ha of Robusta Coffee and 307.000 Ha of Arabica Coffee.

Total area of coffee plantations in Indonesia is
approximately 1.240.000 Ha, which consists of 933.000 Ha
of Robusta Coffee and 307.000 Ha of Arabica Coffee

High quality Arabica Coffee is mainly produced in Aceh and North Sumatera, meanwhile Robusta Coffee is primarily produce in Lampung, Bengkulu and South Sulawesi. The high level of coffee consumption in the world has certainly become a big opportunity to develop the coffee processing industry in Indonesia.

Patchouli

According to a study, Aceh patchouli oil contains patchouli alcohol 30-34% with a yield of 3%, which makes it the best patchouli in the world

The main areas for patchouli production are Aceh Selatan, West Aceh, Gayo Lues, Aceh Jaya and Aceh Besar Regencies. These areas are suitable for the development of the patchouli processing industry. Patchouli is one of Indonesia’s largest and important export commodities. This valuable essential oil is distilled from its dried leaves. This oil is widely used in various industries, especially the perfume, aromatherapy, cosmetics, medicine, toiletries, etc. industry where the demand continues to increase.

Cacao

Aceh is one of the major cocoa producer regions in Indonesia with plantations spread across almost all regions in Aceh, from Pidie in the eastern part of Aceh to Simeulue Island on the outer side of Aceh province.

The development of strategy is to create a sustainable cocoa downstream industry. The upstream industry will focus on increasing value added in the downstream sector. Aceh Tenggara, Pidie Jaya, East Aceh, Pidie and North Aceh are suitable areas for cocoa producing and development of the chocolate processing industry.

Cocoa is one of the leading commodities that has an important role in economic development in Pidie Jaya Regency. Market opportunities that are still open and the availability of large areas of land are potentials that should be considered in cocoa development efforts. The high consumption of chocolate both domestically and abroad, such as in the European Union, especially for processed cocoa which has a higher value than cocoa beans, could become a market opportunity for cocoa in Pidie Jaya Regency.

The interesting thing is, the prices of cocoa bean products that are marketed online are quite tempting. Of course this market is attractive to target and this allows farmers to sell their products directly to consumers with several conditions. Among other things, the cocoa beans come from gardens that already have organic certificates.

Palm Oil

Aceh has 240,365 hectares of palm oil plantation which are managed by the community with a production of 410,415 tons in 2019.

Palm oil is the largest plantation crop in Aceh by volume, area, and economic value. The palm oil industry has significant growth potential as a major source of supply for food products and biofuels. With the increase in production, Aceh is encouraging the construction of CPO factories and their derivative products.