Assessing the potato marketing systems in North Sumatra, Indonesia
2003
Adiyoga, W. (Ministry of Agriculture, Lembang (Indonesia). Agency of Agricultural Research and Development)
Potato production and prices in Indonesia are linked to the global economy through international trade. Indonesian exports of fresh table potatoes rose steadily for more than a decade before peaking in 1995 at 103,000 tons, or about 10 percent of national potato production. Exports have since declined by more than two-thirds. This paper examines trends in potato trade in Indonesia and the system of export marketing in North Sumatra. Nearly all potatoes produced for export in Indonesia are grown on small farms in this province. The authors used a rapid market appraisal methodology, including semistructured interviews with key informants and analysis of secondary market data. Potato marketing channels, costs, and margins are assessed. The marketing systems appear to operate competitively and relatively efficiently. Interviews with potato traders in a major import destination, Singapore, revealed that Indonesian potatoes are preferred for their freshness, taste, and proximity to the market. Declining price competitiveness is identified as the most important factor explaining the loss of Indonesia's market share in the Singapore and Malaysia potato markets in recent years. Factors contributing to the decline in competitiveness in international markets are (1) high costs of potato production, (2) growth in domestic demand, and (3) increased international competition. The devaluation of the Indonesian rupiah since late 1997 improved the price competitiveness of Indonesian products and stopped the downward trend in potato exports. The economic crisis in Indonesia also sharply reduced the demand for potato processed products (mainly French fries in fastfood restaurants), which are mainly supplied through imports.
显示更多 [+] 显示较少 [-]