JAKARTA - The Association of Indonesian Food and Beverage Entrepreneurs (GAPMMI) said that currently the food and beverage processing industry is still concentrated in Java. This is a challenge for the food and beverage sector. This is because the raw materials are more widely distributed in other islands outside Java.
Iwan Winardi, GAPMMI's Executive for Foreign Cooperation, said that many business actors, such as those in Sumatra, Sulawesi and Kalimantan, have complained about gaps in the processing industry.
"Friends from Sumatra complain that there are ingredients such as coffee, fish and so on, but nearly 52 percent of it (processing) is concentrated in Java Island. Meanwhile, other potentials in Sulawesi, Kalimantan, Papua are still below 10 percent," he said in a press conference for 500K New Exporters, Monday, April 19.
According to Iwan, the uneven distribution of the processing industry is a challenge going forward. Starting from how to distribute various products in various regions to other regions, as well as how to build processing infrastructure that is evenly distributed in various regions.
"So the infrastructure for FnB processing is still concentrated in Java. This is the challenge of sharing the raw materials that grow in all areas on all islands, including distributing them," he said.
This equal distribution of infrastructure, said Iwan, must be built immediately. Because, it is estimated that in the next 25 years, Indonesia's per capita income will grow 60 times from the current one. Thus, the market will also grow 60 times from what it is today.
Therefore, according to Iwan, the food and beverage (mamin) industry needs infrastructure capable of encouraging consumer goods to be distributed in a sustainable manner.
"The growth per capita in the next 25 years is estimated to jump very much, almost 60 times. So the market will grow in 25 years as many as 60 market size domestically," he said.
Furthermore, Iwan said, the food and beverage industry must continue to be optimistic about the future, even though it is currently experiencing negative growth due to the COVID-19 pandemic.
"Consumption growth due to the pandemic has decreased, we are growing at a minus, but this situation may occur once every 100 years. We must always be positive this situation will end," he said.
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