JAKARTA - Director General of Agro Industry at the Ministry of Industry (Kemenperin) Putu Juli Ardika revealed, Indonesia in the last 10 years still dominates the export market for dried seaweed for industrial consumption and raw materials.
However, significant growth has not been seen for seaweed exports to downstream products that have added value.
Putu said that seaweed export products were dominated by dry seaweed by 66.61 percent.
"Meanwhile, processed seaweed (caragenan and so on) is still 33.39 percent," Putu said at the Seaweed Processing Business Matching event with the User Industry in Jakarta, Tuesday, June 25.
He added, throughout 2023, Indonesia produced 10.7 million tons of wet seaweed.
Of these, 77 percent were used for food and beverage products.
Meanwhile, for pharmaceuticals, cosmetics and others, it is only 23 percent.
"This industry needs to be more adaptive to market changes and developments," he said.
Putu said, based on The Global Seaweed: New and Emerging Market Report 2023, it has identified a new market share that will develop in 2030 for seaweed downstream products with a market potential of 11.8 billion US dollars.
The downstream seaweed products include biostimulant, bioplastic, animal feed additives, numerical, alternative proteins, pharmaceuticals and textiles.
"Development and product innovation are expected to encourage the downstreaming of seaweed into this potential product," said Putu.
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According to Putu, to increase the competitiveness and optimization of the domestic seaweed industry, the Ministry of Industry synergizes with various ministries/agencies through affirmation of programs and policies according to the direction of President Joko Widodo (Jokowi) in order to accelerate the downstreaming of the national seaweed industry.
In addition, the Ministry of Industry is committed to increasing the downstreaming of seaweed commodities through diversification of seaweed processed products.
"Involving cooperation between the seaweed processing industry and the user industry, encouraging the TKDN certification program and the engine or equipment restructuring program for the seaweed processing industry," he added.
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