November 26, 2025 | 12:42 pm
TEMPO.CO, Jakarta - Indonesia’s Minister of Investment and Downstreaming and Head of the Investment Coordinating Board (BKPM), Rosan Perkasa Roeslani, said a China-backed coconut downstreaming project is set to deliver significant added value to the country’s economy.
Rosan noted that the project is expected to create between 5,000 and 10,000 jobs while producing a wide range of coconut-based derivative products.
"In the first year, it will absorb 5,000 workers, and this will increase to 10,000 in the following year. The range of derivative products is also very diverse," Rosan said at the Kompas100 CEO Forum at the Indonesia Convention Exhibition (ICE) BSD in South Tangerang on Wednesday, November 26, 2025.
He emphasized that the initiative is designed to keep value creation within Indonesia. "This is how we ensure that added value stays in our country, and the jobs are also created here," he said.
The project carries an investment value of 100 million US dollars, or around Rp1.65 trillion.
"Compared to mineral investments, this is relatively small, especially in the plantation sector. But despite the 100 million dollars invested, the job creation can reach up to 10,000 people. That is very significant," Rosan said.
Rosan, who also serves as CEO of Danantara, an investment and agribusiness firm focusing on commodity downstreaming, stressed that downstreaming across various commodities, including coconut, is crucial for boosting added value and improving price stability for farmers in producing regions.
He said coconut is especially promising due to its strong value potential when processed through an integrated downstreaming chain. Previously, raw coconuts were exported to China, and logistics costs drove down farm-gate prices.
"This is why we encouraged them to invest here, so farmers can enjoy higher selling prices without the burden of shipping costs," he said.
Rosan added that the ongoing project will absorb around 500 million coconuts per year.
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