2021, Volume 24, Paper 15
ISSN: 2209-6612

The Nutmeg Value Chain in Indonesia

Lina Dharmawati Sukarman – Postgraduate student, Centre for Global Food and Resources, University of Adelaide

Abstract

Indonesia is one of the largest producers and exporters of nutmeg in the world market. Most nutmeg producers are smallholder farmers that still use traditional methods of processing. These methods inhibit the ability to improve market competitiveness and maximise the potential of the nutmeg industry. In this paper a value chain analysis is provided on the nutmeg industry in Indonesia to identify constraints faced by actors in the value chain. A lack of local government support, low productivity and quality, and a lack of access to information are several barriers that are identified. To address these issues, some strategies are suggested to improve the development of the nutmeg industry in Indonesia.

Key words: nutmeg, value chain, Indonesia, exports, smallholders

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