Cooperatives urged to expand through access to global markets

Indonesia’s Cooperatives Ministry is pushing local cooperatives to move beyond domestic markets and become global players, using an international e-commerce exhibition in Jakarta to open new business opportunities.

The ministry brought several cooperatives under its guidance to the China International E-Commerce Industry Exhibition Indonesia 2 at the Jakarta International Expo in Kemayoran. Deputy Cooperatives Minister Farida Farichah said the event could connect producers with consumers and with other producers, while giving cooperatives a broader platform to promote their products.

Farichah said ministry data collection and assistance across Indonesia had highlighted three main obstacles to global expansion: human resources, financing and market access. Cooperatives with products that are already competitive could use the exhibition to pursue export opportunities, she said. Those not yet ready for international markets could use it to learn what they need to prepare.

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After traveling throughout Indonesia and compiling data on cooperatives, we found several challenges for cooperatives seeking to move up and become global-class businesses. The first is human resources, the second financing, and the third the market.

Entering global markets requires more than a good product. Farichah emphasized the need to meet international quality standards and obtain the necessary certifications. The ministry is continuing to provide support so cooperatives can satisfy those requirements.

“We are encouraging cooperatives whose products already have good quality to fulfill the certification requirements, with the Cooperatives Ministry providing services and assistance so they can meet those standards,” she said.

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We are encouraging cooperatives whose products already have good quality to fulfill the certification requirements, with the Cooperatives Ministry providing services and assistance so they can meet those standards.