This article contains information about CRUDE COCONUT OIL PRODUCER. Please read it and find the information you need.

As initial information, we are Indonesian Crude Coconut Oil Producer. We have been in the market since 2008.



PHONE : (62) 8117810991(62) 811 787 100


ADDRESS : Karya Baru Street 484, Palembang, South Sumatera, Indonesia


The world’s need for coconut oil or Coconut Crude Oil (CNO) is increasing day by day. This business opportunity was welcomed by Indonesia and made Indonesia the second largest producer of coconut oil in the international market after the Philippines.

The challenge that Indonesia has to face as a nation is the fluctuating price of coconut oil. The fluctuations in the vegetable oil market in the international market are inseparable from economic conditions in CNO consuming countries, which affect coconut oil exports.

Many studies show that Indonesian coconut oil has a comparative advantage in the international market. Therefore the demand for Indonesian coconut oil continues to increase.

The increase in demand for imported coconut oil in the international market will certainly benefit Indonesia. Let’s discuss further the role of Indonesia as a Producer of Crude Coconut Oil.

Coconut is a typical plant that grows in the tropics. In tropical areas, coconut can grow well and optimally because the environmental conditions are very suitable for the growth and development of these plants.

Coconut plants have many benefits and many superior export products are produced from these plants.

The three most important forms of coconut consumption are fresh coconut, coconut oil and desiccated coconut.

Coconut oil has a high economic value, so it is not surprising that many entrepreneurs make coconut a commercial commodity.

Indonesia’s coconut production is one of the largest in the world with a market share of over 35% of world coconut production.

Coconut has now become an important commodity for the people of Indonesia because it can become a driving force for the people’s economy.

This can be seen from the coconut plantations in Indonesia, which are mostly managed by farming households.

Approximately 96.60% of coconut plantations are managed by farmers with an average ownership of 1 hectare/head of household.

Therefore, efforts to develop coconut into a product with high economic value can improve people’s welfare and boost the national economy.

Currently, many Indonesian coconut products are traded in the form of fresh coconut, copra or coconut oil.

Increasing the added value of coconut commodities, for example by turning them into high added value products such as copra and coconut oil, needs to be increased in order to increase the income of coconut farmers in coconut producing centers.

Communities in coconut production centers in Indonesia generally process coconuts into semi-finished products in the form of copra.

However, when compared to its economic value, the selling price of copra is lower than coconut oil.

Producing coconut oil is far more capable of increasing income than selling copra.

Increasing the added value of coconut commodities if done properly can improve the main source of income for farmers when compared to other sources of income.

Empowerment of coconut farmers that focuses on providing added value and increasing income needs to be continued.

The main effort that can be done is by developing coconut plantations with an agribusiness perspective. Development of agribusiness-minded farmers can be done through:

  1. Extension and training on technical aspects and plantation management
  2. Activate and function farmer institutions
  3. Development of prime locations for coconut plantations
  4. Provision of capital assistance


Indonesia’s coconut production is currently concentrated in several major islands, namely Sumatra, Java and Sulawesi, with an average productivity of 11.36 tons/hectare.

This productivity is already above the average world coconut productivity of 5.20 tons/hectare.

Most of Indonesia’s coconut products are export commodities. Use for domestic consumption is less.

The business of processing coconut derivative products has the potential to be developed in production center areas due to the abundance of raw materials.

Based on financial analysis, the coconut derivative product business is feasible to develop and shows profits that can continue to increase every year.

The world’s market share of coconut oil is supplied by the two main producing countries, namely Indonesia and the Philippines.

Indonesia and the Philippines are the largest producers of coconut oil because of their territory in the tropics and are the largest archipelagic countries in the world that support the growth and development of coconut plants.

Therefore, the production of coconut oil (CNO) from these two countries can dominate the world market share.

The contribution of CNO commodities to Indonesia’s total exports of agricultural products is in the fifth largest after CPO, palm cooking oil, margarine and olein.

Indonesia’s geographical location as a tropical country is an advantage for the development of CNO commodities, due to the abundant coconut raw material.

The potential expansion of coconut plantation land by 10.70 million hectares can still be carried out in Papua, Kalimantan and Riau.

The back-to-nature trend in the industrial sector is a market opportunity for world demand for coconut oil.

Currently, world demand for vegetable oil is still dominated by palm oil, rapeseed and soybean oil.

Environmental issues and competition for food and energy are issues that have a significant impact on the world’s production of palm oil and soybeans.

The expansion of oil palm plantations which has an impact on forest encroachment and a decrease in soybean production is a matter of great concern to importing countries, so permits in importing countries are very strict.

Coconut oil (CNO) is an alternative for producing vegetable oil that is environmentally friendly and less competitive as a staple food.

Currently, the largest demand for CNO commodity imports comes from the European Union, the United States, China and Malaysia.

CNO products are used as raw materials for the pharmaceutical industry, soap making, cosmetics, biodiesel fuel, etc. as well as raw materials for the food industry.

Estimated demand for world vegetable oil will continue to grow, including demand for coconut oil.

The increase in world vegetable oil demand was triggered by demand from China and other developed countries.

The increase in demand was also triggered by the increase in population and GDP growth in developed countries as consumers.

Coconut oil which is used as a raw material for the processing industry will always be needed.

The active ingredients found in coconut oil such as Tocopherols, Phytosterols, and Polyphenols make it an oil that is often used as an ingredient in food, medicine and cosmetics because it is very beneficial for health and skin care.

Indonesia exports coconut oil to importing countries in the form of semi-finished goods.

This semi-finished product is processed by the importing country to make high-value derivative products, and then exported to other countries.

Therefore, the demand for coconut oil is inseparable from the demand for derivative products made from coconut oil.

The increase in demand for coconut oil derivative products has also increased the demand for crude coconut oil (CNO).

This can be seen in the growth in demand for Indonesian crude palm oil (CNO) by Germany (the European Union).

Germany is one of the exporting countries for processed coconut oil products to other European Union countries such as the Netherlands, Poland, France, and others as well as the United States and several Asian countries.

The Ministry of Trade through the Indonesia Trade Promotion Center (ITPC) Hamburg stated that the growth in the value of Indonesian coconut oil exports to Germany grew by 8.46% during 2008-2012.

The growth in exports of crude coconut oil (CNO) was supported by an increase in exports of processed coconut oil from Germany to other European Union countries such as the Netherlands, Poland and France during the same period.

Indonesia is not the only exporting country of world crude palm oil. The largest exporters of crude coconut oil are the Philippines,

Indonesia, the Netherlands (Netherlands), Malaysia and the United States. But as already informed above, the market for coconut oil is controlled by Indonesia and the Philippines.

Indonesia needs to continue to seek innovation and research in order to come up with an appropriate export marketing strategy for Indonesian coconut oil, and so that Indonesian crude coconut oil products can compete with other exporting countries.

If Your Are Looking for Crude Coconut Oil Producer, Please Contact Sukatani Perkasa, We Are One of Indonesia Crude Coconut Oil Producer



PHONE : (62) 8117810991(62) 811 787 100


ADDRESS : Karya Baru Street 484, Palembang, South Sumatera, Indonesia

Hopefully the information about CRUDE COCONUT OIL PRODUCER can help you. If you have any questions please contact us, CV Sukatani Perkasa.