100%
General News
JAKARTA – The Ministry of Villages and Development of Disadvantaged Regions (Kemendes PDT) is committed to maximizing village products for export to various countries and continents. This commitment is reflected in a planned strategic cooperation with Indonesia Diaspora SME Export Empowerment & Development (ID SEED) to market downstreamed village products.
The initiative focuses on raw materials such as pepper, chili, shallots, lemongrass, bananas, and other agricultural yields to be processed into finished goods, including spices, jams, and processed foods. To realize this, Village-Owned Enterprises (BUMDesa) with relevant potential will be engaged, ensuring certainty in terms of required volume, pricing, and supply chains.
"This is downstreaming; we are exporting finished spices, not just raw materials. We must finalize the pricing, quantity, delivery schedules, and other logistics. This ensures the community no longer sells raw goods in bulk but adds value through downstreaming," stated the Minister of Villages and Development of Disadvantaged Regions (Mendes PDT), Yandri Susanto, during an audience with ID SEED at the Ministry's office in Jakarta, Tuesday (May 12, 2026).
Exporting village products is one of the 12 strategic action plans of the Ministry, aligning with ID SEED's Global Market Access Hub development (targeting ASEAN and Saudi Arabia). Economic growth in villages is expected to significantly increase opportunities to penetrate international markets.
The diverse natural resources in villages, if managed optimally, are believed to drive downstreaming and boost national economic growth. Therefore, the Ministry emphasizes ensuring high quality and sufficient quantity to meet market demands.
"We will involve the National Research and Innovation Agency (BRIN) to assist with quality control and standards. We will also deploy Village Facilitators to oversee these thematic villages. When contracts are signed, the facilitators will be there to guard the process," Minister Yandri added.
The Indonesian diaspora network chose villages as partners to boost national exports after recognizing the potential and resilience of rural communities. The Chairperson of ID SEED, Ira Damayanti, mentioned that this collaboration aims to turn superior village products into globally competitive commodities through an integrated approach.
"Downstreaming village products is our primary concern to ensure there is added value. This will create sustainability, and the pricing will be significantly better compared to raw materials," she explained.
To finalize this plan, a Memorandum of Understanding (MoU) will be signed at the site of a production village. This ensures the collaboration is legally sound and conceptually aligned with actual data and market needs.
Photo: Dani/Kemendes PDT
Text: Ria/Kemendes PDT