In medieval times, Indonesia was a leading spice exporter, drawing many European explorers to the country. Due to unsustainable practices, unfortunately, the current state of the Indonesian spice trade has largely been a story of missed opportunities.
Despite the fact that Indonesian soil is an abundant producer of spices, some unsustainable practices have caused the archipelago to lag behind in the spice trade, far removed for its glory days some 500 years ago.
Indonesian Botanical Garden Foundation representative Didiek Setiabudi Hargono says Indonesia is no longer the number one exporter in the international spice trade. Overall, Singapore is currently the world's number one spice seller, followed by Vietnam, thanks to their ability to produce value added products.
Indonesia currently faces some different challenges in the global spice trade competition, including low quality packaging and low prices.
"Low quality packaging causes a number of spices - pepper, vanilla and quinine - to be damaged during the shipping process. Low commodity prices, meanwhile, make it difficult for our spices to penetrate the premium market segment," Indrasari Wisnu Wardhana, the Indonesian Trade Ministry's domestic trade general directorate secretary told The Jakarta Post by e mail.
Didiek said biological and environmental factors also contribute to the country's declining position in the global spice trade.
"Spices require specific types of soil in order to grow. For instance, nutmeg can only flourish in the Eastern (part) of Indonesia. Due to conversions of land into agricultural fields, which started in around the 1970s, our fertile soil, regeneration of spices trees is another crucial problem that needs special attention; Indonesians now have to use synthetic versions of spices like camphor (Cinnamomum camphora), because they have now become endangered species.
"Camphor is extracted from rare trees; it takes hundreds of years for it to crystallize. We, unfortunately, never cultivated the seeds of camphor trees and relied only on those available. This unsustainable practice, which does not pay attention to replanting activities, has driven camphor to near extinction," Didiek lamented.
He also claimed that certain spice cartels, who play a role in importing indigenous spices already available in Indonesia, also have a hand in causing the value of our spices to decline.
In order to address these problems, Didiek urged the government to designate Indonesia's top five to 10 spices with high economic value to be cultivated in soil that has been modified to fit their biological requirements.
"The government must designate specific areas in which the species should be planted according to their biological characteristics. Then, it must determine the total area of land needed to cultivate the spices, based on the quantitative target in which they plan to export the spices," he explained.
Indrasari said more technology should be developed to create both value added spices and more superior spice variants - two essential elements needed to be a leading global spice exporter.
"Finally, we should also develop specific brand for our spices through the geographic indicator mechanism. Currently, from Indonesia's abundance of indicators: cloves from Minahasa, North Sulawesi; white pepper from Muntok, West Bangka in Sumatra; Palace from the Siau Island in East Nusa Tenggara," he explained.
Indonesia ranks fourth in the global list of pepper (Piper nigrum) exporters, with a total value of US$441.353 and a global export market share of 9.7 percent. Vietnam dominates the list with a total value of US$1.14 billion, followed by India (US$843.85 million) and China (US$453.14 million).
Indonesia ranks third in the global list of cloves (Syzygium aromaticum) exporters, with a total value of US$41.57 million and a global export market share of 10.5 percent. Madagascar is on top of the list with a total value of US$149.87 million and a market share of 37.7 percent, followed by Singapore with US$85.69 million and a 21.6 percent market share.
Indonesia ranks second in the global list of cinnamon (Cinnamomum burmanni) exporters, with a total value of US$94.16 million and a global export market share of 19.4 percent. Sri Lanka is on top of the list with a total value of US$159.11 million and a market share of 32.8 percent.
Indonesia ranks third in the global list of nutmeg (Myristica fragrans) exporters, with a total value of US$96.67 million and a global export market share of 16 percent. Guatemala is ranked number one, with a value of US$229.08 million and a market share of 38 percent, followed by India with US$107.90 million and a 17.9 percent market share.
Sebastian Partogi
The Jakarta Post/ Jakarta
Despite the fact that Indonesian soil is an abundant producer of spices, some unsustainable practices have caused the archipelago to lag behind in the spice trade, far removed for its glory days some 500 years ago.
Indonesian Botanical Garden Foundation representative Didiek Setiabudi Hargono says Indonesia is no longer the number one exporter in the international spice trade. Overall, Singapore is currently the world's number one spice seller, followed by Vietnam, thanks to their ability to produce value added products.
Indonesia currently faces some different challenges in the global spice trade competition, including low quality packaging and low prices.
"Low quality packaging causes a number of spices - pepper, vanilla and quinine - to be damaged during the shipping process. Low commodity prices, meanwhile, make it difficult for our spices to penetrate the premium market segment," Indrasari Wisnu Wardhana, the Indonesian Trade Ministry's domestic trade general directorate secretary told The Jakarta Post by e mail.
Didiek said biological and environmental factors also contribute to the country's declining position in the global spice trade.
"Spices require specific types of soil in order to grow. For instance, nutmeg can only flourish in the Eastern (part) of Indonesia. Due to conversions of land into agricultural fields, which started in around the 1970s, our fertile soil, regeneration of spices trees is another crucial problem that needs special attention; Indonesians now have to use synthetic versions of spices like camphor (Cinnamomum camphora), because they have now become endangered species.
"Camphor is extracted from rare trees; it takes hundreds of years for it to crystallize. We, unfortunately, never cultivated the seeds of camphor trees and relied only on those available. This unsustainable practice, which does not pay attention to replanting activities, has driven camphor to near extinction," Didiek lamented.
He also claimed that certain spice cartels, who play a role in importing indigenous spices already available in Indonesia, also have a hand in causing the value of our spices to decline.
In order to address these problems, Didiek urged the government to designate Indonesia's top five to 10 spices with high economic value to be cultivated in soil that has been modified to fit their biological requirements.
"The government must designate specific areas in which the species should be planted according to their biological characteristics. Then, it must determine the total area of land needed to cultivate the spices, based on the quantitative target in which they plan to export the spices," he explained.
Indrasari said more technology should be developed to create both value added spices and more superior spice variants - two essential elements needed to be a leading global spice exporter.
"Finally, we should also develop specific brand for our spices through the geographic indicator mechanism. Currently, from Indonesia's abundance of indicators: cloves from Minahasa, North Sulawesi; white pepper from Muntok, West Bangka in Sumatra; Palace from the Siau Island in East Nusa Tenggara," he explained.
Indonesia ranks fourth in the global list of pepper (Piper nigrum) exporters, with a total value of US$441.353 and a global export market share of 9.7 percent. Vietnam dominates the list with a total value of US$1.14 billion, followed by India (US$843.85 million) and China (US$453.14 million).
Indonesia ranks third in the global list of cloves (Syzygium aromaticum) exporters, with a total value of US$41.57 million and a global export market share of 10.5 percent. Madagascar is on top of the list with a total value of US$149.87 million and a market share of 37.7 percent, followed by Singapore with US$85.69 million and a 21.6 percent market share.
Indonesia ranks second in the global list of cinnamon (Cinnamomum burmanni) exporters, with a total value of US$94.16 million and a global export market share of 19.4 percent. Sri Lanka is on top of the list with a total value of US$159.11 million and a market share of 32.8 percent.
Indonesia ranks third in the global list of nutmeg (Myristica fragrans) exporters, with a total value of US$96.67 million and a global export market share of 16 percent. Guatemala is ranked number one, with a value of US$229.08 million and a market share of 38 percent, followed by India with US$107.90 million and a 17.9 percent market share.
Sebastian Partogi
The Jakarta Post/ Jakarta
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