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Showing posts with label Economy. Show all posts
Showing posts with label Economy. Show all posts

Sunday, June 21, 2026

East Kutai Sends First 12 Tons of Fermented Cocoa as Economic Diversification Gains Momentum

East Kutai ships 12 tons of fermented cocoa to Bandung, marking a key step in economic diversification from coal and palm oil to cocoa-based agro-industry.
East Kutai ships 12 tons of fermented cocoa to Bandung, marking a key step in economic diversification from coal and palm oil to cocoa-based agro-industry.

The East Kutai Regency Government in East Kalimantan, Indonesia, shipped its first 12 tons of fermented cocoa beans to PT Rasantara Cipta Pangan in Bandung on Wednesday (June 17) in Sangatta, marking a key step in its efforts to diversify the local economy beyond coal and crude palm oil (CPO).

The initial shipment is part of an ongoing partnership, with regular monthly deliveries expected to range between 25 and 30 tons of fermented cocoa beans. The product originates from Karangan District, one of East Kutai’s long-established cocoa-producing areas.

East Kutai Regent Ardiansyah Sulaiman described the achievement as a major breakthrough in reducing the region’s reliance on extractive industries. He said the entry of local cocoa into industrial markets in Java highlights the strong potential of agriculture as a new driver of community-based economic growth.

He added that the progress was made possible by local farmer groups and business actors who improved quality standards through consistent fermentation processes that meet industrial requirements.

“East Kutai has long been known as a coal and crude palm oil (CPO) producing region. Therefore, this success in economic diversification through fermented cocoa is certainly a major leap,” said Ardiansyah Sulaiman in Sangatta on Sunday.

He also emphasized that the local government will continue supporting cocoa development, from cultivation and post-harvest standardization to expanding market access.

Meanwhile, Head of the East Kutai Plantation Office, Arief Nur Wahyuni, expressed optimism about the growing market opportunities for fermented cocoa. He said guaranteed off-take agreements would directly improve rural household incomes.

“With a stable market and modern cocoa processing from upstream to downstream, cocoa plantations have the potential to become a promising source of employment,” he said.

With established market access in Java and a structured monthly shipment plan, fermented cocoa from East Kutai is expected to emerge as a new economic growth engine, strengthening rural livelihoods and accelerating the region’s shift toward a more diversified economy.

AKPSI Backs One-Gate CPO Export Policy to Improve Palm Oil Governance

AKPSI backs One-Gate CPO Export Policy in Penajam Paser Utara, expecting improved palm oil governance, price stability, and higher regional revenue sharing.
AKPSI backs One-Gate CPO Export Policy in Penajam Paser Utara, expecting improved palm oil governance, price stability, and higher regional revenue sharing.

Penajam Paser Utara, East Kalimantan — The Indonesian Palm Oil Producing Regency Association (AKPSI) expressed optimism over the government’s one-gate export policy for natural resources, particularly crude palm oil (CPO), on Sunday (June 21, 2026) in Penajam Paser Utara.

AKPSI Chairman Mudyat Noor said the policy could improve the national palm oil trading governance system, which has long faced structural issues, especially in pricing.

He pointed to problems such as underpricing practices and transfer pricing between entities, which have affected both state and regional revenues.

According to him, if the one-gate export system is implemented effectively, domestic palm oil prices could become more stable and uniform. This would benefit farmers while reducing practices that distort market pricing and reduce public revenue.

Mudyat added that increased national revenue from the palm oil sector could also boost regional income through palm oil revenue-sharing funds.

“The one-gate export system could be an opportunity to improve the governance of the national palm oil trade,” said Mudyat Noor.

He emphasized that pricing reform is the most critical issue that needs to be addressed.
“With increased state revenue, it is expected to have an impact on increasing palm oil revenue-sharing funds (DBH) for producing regions,” he said.

AKPSI currently represents 164 regencies and municipalities across Indonesia and is also pushing to increase palm oil revenue sharing from 8% to at least 15% for producing regions.

AKPSI believes the implementation of the one-gate export policy through PT Danantara Sumberdaya Indonesia could open wider opportunities to increase both national and regional revenues. If executed effectively, the policy is expected to strengthen palm oil price stability and improve the distribution of benefits to producing regions.

Friday, May 15, 2026

Passenger Traffic on Tanjung Selor-Tarakan Speedboats Reaches 2,535 During Long Holiday

Speedboat passenger traffic at Kayan II Port in Tanjung Selor surged to 2,535 travelers during the long Ascension Day holiday period in North Kalimantan.
Speedboat passenger traffic at Kayan II Port in Tanjung Selor surged to 2,535 travelers during the long Ascension Day holiday period in North Kalimantan.

The number of speedboat passengers at Kayan II Port in Tanjung Selor, Bulungan Regency, North Kalimantan, increased significantly over the past three days during the May 12-14, 2026 holiday period. The surge was driven by travelers heading to Tarakan City for the long Ascension Day weekend.

Ariyanto, the duty officer at the Kayan II Port Harbormaster Office, said the increase in passenger traffic began on Tuesday, May 12.

A total of 797 passengers departed for Tarakan using 21 speedboats that day, while 525 passengers arrived at the port on the same number of vessels.

“For departures on May 12, there were 797 passengers with 21 speedboats operating. Arrivals reached 525 passengers with the same number of boats,” Ariyanto said on Thursday.

Passenger numbers continued to rise on Wednesday, May 13, despite only 20 speedboats operating that day.

According to Ariyanto, 821 passengers departed from Tanjung Selor, while 717 passengers arrived from Tarakan.

“There were 821 departing passengers and 717 arrivals, with 20 speedboats in operation,” he said.

The peak of the holiday travel occurred on Thursday, May 14, which coincided with the Ascension Day public holiday. A total of 917 passengers departed from Kayan II Port to Tarakan using 21 speedboats.

Ariyanto explained that only half of the boats returned to Tanjung Selor because several vessels stayed overnight in Tarakan.

“There were 21 speedboats departing today, but only half returned because the boats stayed overnight in Tarakan. Today also marked the peak departure day with 917 passengers,” he said.

In total, 2,535 passengers departed from Kayan II Port between May 12 and May 14, 2026.

The increase in passenger traffic was largely driven by residents taking advantage of the long holiday and collective leave period for vacations and shopping trips to Tarakan.

One traveler, Heriansyah, said he used the holiday break to spend time in Tarakan with family members.

“It’s a long holiday and I also happened to be on leave, so I’m staying in Tarakan for two days for vacation and shopping. I also have family there,” he said.

Tuesday, May 5, 2026

Tapin Records 249 Layoffs In 2026 As Businesses Cut Costs

Tapin records 249 layoffs in 2026 as companies implement efficiency measures. Data shows 11 companies affected and two businesses shutting down operations.
Tapin records 249 layoffs in 2026 as companies implement efficiency measures. Data shows 11 companies affected and two businesses shutting down operations.

The Manpower Office (Disnaker) in Tapin Regency, South Kalimantan, reported that hundreds of workers lost their jobs throughout 2026. The latest data shows that 249 employees were laid off as companies implemented efficiency measures amid ongoing business challenges.

Head of Tapin Manpower Office, Sapuani, stated that the layoffs came from 11 companies adjusting their operations due to shifting economic conditions.

“Eleven companies carried out layoffs, affecting a total of 249 workers. In addition, two companies completely shut down operations this year,” Sapuani said in Rantau, Tapin Regency.

This situation highlights the pressure local businesses are facing, which is now directly impacting employment stability in the region.

Business Landscape In Tapin

According to official records, there are 100 registered companies in Tapin in 2026, broken down as follows:

  • 36 large companies

  • 14 medium-sized companies

  • 50 small businesses

Together, these companies employ around 20,106 workers across various sectors.

While layoffs have occurred, the overall workforce absorption still indicates that Tapin’s economy continues to operate at a relatively stable level.

Labor Disputes Still Ongoing

Beyond layoffs, the Manpower Office is also dealing with labor disputes. Throughout 2026, there have been 10 recorded industrial relations cases.

Here’s the current status:

  • 6 cases resolved through mediation

  • 2 cases still in progress

  • 2 cases escalated to the provincial level

Sapuani emphasized that mediation remains the preferred approach to maintain a healthy relationship between employers and workers while minimizing broader social impacts.

Efforts To Maintain Employment Stability

To respond to these challenges, the Tapin Manpower Office continues to prioritize dialogue-based solutions between companies and workers.

This approach is seen as key to maintaining a stable labor environment and preventing further disputes, while also ensuring that affected workers receive proper attention and support.

FAQ

1. How many workers were laid off in Tapin in 2026?
A total of 249 workers were affected by layoffs from 11 companies.

2. What caused these layoffs?
The main reason was company efficiency measures and operational adjustments.

3. How many companies operate in Tapin?
There are 100 registered companies across large, medium, and small categories.

4. How many workers are employed overall?
Around 20,106 workers are employed across different sectors.

5. How are labor disputes handled?
Most cases are resolved through mediation, while others are still ongoing or escalated to the provincial level.

Saturday, March 28, 2026

East Kalimantan Prepares New Tender For Lembuswana Mall Management

East Kalimantan prepares a new tender for Lembuswana Mall Samarinda ahead of the 2026 contract end, aiming to boost regional revenue and modernize its business concept.
East Kalimantan prepares a new tender for Lembuswana Mall Samarinda ahead of the 2026 contract end, aiming to boost regional revenue and modernize its business concept.

The Government of East Kalimantan Provincial Government is preparing a major transition in the management of Lembuswana Mall in Samarinda, as the current build-operate-transfer (BOT) agreement approaches its end on July 26, 2026.

At present, the shopping center is managed by PT Cipta Sumena Indah Satresna on land owned by the provincial government. Once the contract expires, all building and land assets will fully revert to government ownership.

Deputy Governor Seno Aji confirmed the plan, emphasizing that the transition will mark a new phase in the mall’s management. “Once the contract ends, all assets will return to the provincial government,” he stated.

Moving Beyond The Existing Partnership Model

The provincial government has made it clear that it will not simply extend the existing agreement. Instead, a new partnership model is being designed to deliver stronger financial returns, particularly in boosting Regional Original Revenue (PAD).

A key strategy involves engaging regionally owned enterprises (local public companies) to help structure a more profitable and sustainable cooperation scheme.

“We will ask regional enterprises to design a partnership model that maximizes contribution to regional revenue,” Seno said.

Open And Transparent Tender Process

To secure the best possible partner, the government will launch an open and transparent tender process. This approach ensures equal opportunities for private companies and investors.

Participants will be evaluated based on their proposals, with priority given to those offering the most beneficial outcomes for the region.

“Anyone can participate, as long as they provide the best offer for East Kalimantan,” he added.

Comprehensive Review Of Mall Concept

Beyond administrative preparation, the government is also conducting a comprehensive evaluation of Lembuswana Mall’s business concept.

The review includes:

  • Current retail market trends

  • Market potential in Samarinda

  • Opportunities for functional redevelopment

  • Strategies to increase visitor attraction

This evaluation is considered essential to keep the mall competitive amid shifting consumer behavior, including the rise of digital commerce and experiential retail.

Supporting Local Economy And SMEs

The provincial government aims to ensure that the mall continues to serve as an economic hub while supporting local businesses, particularly small and medium enterprises (SMEs).

The future management scheme is expected to create broader economic impact, not just commercial profit.

“We want Lembuswana Mall to remain productive, competitive, and supportive of local economic growth,” Seno concluded.

The final decision regarding the new management scheme is still under internal discussion involving multiple government agencies.

FAQ

1. When will the Lembuswana Mall contract end?

The BOT agreement will officially end on July 26, 2026.

2. Who currently manages the mall?

It is currently managed by PT Cipta Sumena Indah Satresna (CSIS).

3. What happens after the contract ends?

All assets will return to the East Kalimantan Provincial Government and will be offered to new partners through a tender.

4. Can new investors participate?

Yes, the tender will be open to all qualified investors.

5. What is the main goal of the new scheme?

To increase regional revenue (PAD) and modernize the mall’s business concept.

Wednesday, March 18, 2026

East Kalimantan Palm Oil Prices Rise 0.43 Percent Early March 2026

East Kalimantan palm oil FFB prices rose 0.43 percent to Rp3,266 per kg in early March 2026, driven by improved production quality and multi-sector pricing decisions. (Illustration image AI)
East Kalimantan palm oil FFB prices rose 0.43 percent to Rp3,266 per kg in early March 2026, driven by improved production quality and multi-sector pricing decisions. (Illustration image AI)

Samarinda – Fresh fruit bunch (FFB) prices for palm oil in East Kalimantan increased during the period of March 1–15, 2026. The rise was driven by improvements in production quality at the farmer level.

Acting Head of the East Kalimantan Plantation Office, Ahmad Muzakkir, stated that FFB prices reached Rp3,266.40 per kilogram (kg), marking an increase of Rp13.90 or 0.43 percent compared to the February 16–28, 2026 period, which stood at Rp3,252.50 per kg.

The price applies to FFB harvested from palm trees aged 10 years and above. Meanwhile, FFB from younger plantations is priced slightly lower.

Muzakkir explained that the price determination is conducted by a multi-stakeholder team involving the Plantation Office, farmer representatives, and palm oil companies. This approach aims to ensure a fair balance so that prices do not disadvantage either farmers or industry players.

“The pricing mechanism is designed collaboratively to maintain fairness for all parties,” he said.

He further emphasized that the official price applies only to plasma plantations or partnership-based farms, including independent smallholders who are affiliated with palm oil mills.

This policy aligns with Minister of Agriculture Regulation No. 01/Permentan/KB.120/1/2018, issued on January 2, 2018, which provides guidelines for setting FFB purchase prices to improve farmer welfare through structured partnerships.

The government also encourages farmers to form institutions such as cooperatives, farmer groups, or village-owned enterprises (BUMDes). By organizing and partnering with processing mills, farmers can strengthen their bargaining position and avoid price manipulation by middlemen.

FFB Price Breakdown by Tree Age

The detailed FFB prices for the March 1–15, 2026 period based on plantation age are as follows:

  • 9 years: Rp3,228.61 per kg

  • 8 years: Rp3,160.65 per kg

  • 7 years: Rp3,137.34 per kg

  • 6 years: Rp3,118.18 per kg

  • 5 years: Rp3,084.55 per kg

  • 4 years: Rp3,064.31 per kg

  • 3 years: Rp2,875.21 per kg

The price increase signals a positive trend for the palm oil sector in East Kalimantan, although the growth remains moderate. Stability is expected to continue as production quality improves and farmer institutions become stronger.

Monday, February 9, 2026

SME Loans in Indonesia Keep Dropping – Here’s Why It Matters

SME Loans in Indonesia Keep Dropping – Here’s Why It Matters. (Illustration Image)
SME Loans in Indonesia Keep Dropping – Here’s Why It Matters. (Illustration Image)

Hey, small business owners and finance watchers, here’s the scoop: SME loans in Indonesia are on a downslide, and it’s catching everyone’s attention. You’d think with all the government programs and bank schemes, getting a loan would be easier, right? Turns out, it’s not that simple.

Recent numbers show that in 2025, total loans for small and medium enterprises barely grew, and for some segments, they even dropped. Micro businesses saw a 4.7% decline, medium-sized businesses dropped by around 2%, and only small businesses edged up slightly by 6.8%. When you look at the bigger picture, the share of SME loans in total banking credit shrank from 20.5% in 2023 to 17.5% by the end of 2025. That’s a clear sign banks are tightening their lending.

So, what’s causing the slowdown? Banks are playing it safe. The risk of lending to SMEs is higher than before, and banks are more selective about who gets credit. It’s a bit like dating—if the risk seems too high, they swipe left. This means many businesses, especially smaller ones, struggle to get the cash they need to grow.

But don’t panic just yet. The central bank expects overall banking credit to grow 8–12% in 2026, thanks to a solid economic foundation. So opportunities for SMEs are still there—if you know how to play it smart.

For SME owners looking to grab some loans, here’s the game plan:

  1. Keep your finances clean and transparent – banks love seeing a clear money trail.

  2. Tap into government-backed programs – lower interest rates and guaranteed loans can make a huge difference.

  3. Build a strong business reputation – a reliable track record makes you a safer bet for banks.

Even though SME lending is facing challenges, there’s still hope. Smart planning, understanding bank risk concerns, and leveraging government programs can keep your business moving forward. Loans can still be your fuel for expansion, hiring more people, and boosting Indonesia’s economy.

Bottom line: SME credit is down, but with the right strategy, your business can still thrive. Don’t let declining loan numbers scare you—think smarter, prepare better, and keep growing.

Foreign Funds Might Flee But BI Keeps Rupiah and Inflation in Check

Foreign Funds Might Flee But BI Keeps Rupiah and Inflation in Check
Foreign Funds Might Flee But BI Keeps Rupiah and Inflation in Check.

Lately, everyone’s talking about foreign money that could suddenly pull out of Indonesia. The buzz started after Indonesia’s bond outlook got a downgrade, and naturally, the market felt the heat. The rupiah dipped a bit, and investors sold off some government bonds, mostly short- and medium-term.

But don’t panic. Bank Indonesia (BI) is on it. They promise to keep the rupiah stable and inflation under control. Their approach? Growth-friendly, meaning they want the economy to keep moving even when global pressures hit. According to BI, their stress tests show the financial system is solid and banks have strong capital.

Why does this matter to you? Stable currency and low inflation aren’t just numbers—they affect your wallet. When the rupiah is stable, everyday prices don’t spike unexpectedly. Inflation under control keeps your buying power safe. So, BI’s actions trickle down straight to daily life.

For investors, this is a reminder to stay smart. Diversifying your portfolio can help minimize risks during volatile times. For regular folks, keeping an eye on economic trends helps manage household budgets better and avoid surprises when prices shift.

Overall, even if some foreign money leaves, BI’s steps make sure the rupiah holds and inflation stays manageable. The key takeaway? Stay informed, manage your money wisely, and don’t freak out over market swings. Indonesia’s economy has buffers, and with the right mindset, your finances can stay safe too.

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