Indonesia's Coffee Sector Rebounds - Production and Consumption Surge

Indonesia's Coffee Sector Rebounds - Production and Consumption Surge

Indonesia's coffee production is set to recover in 2024/25, reaching 10.9 million 60-kilo bags, aided by favorable weather. Domestic consumption is also predicted to rise to 4.8 million bags due to stable economic growth and a burgeoning market for roasted and RTD coffees. The USDA Foreign Agriculture Service's annual report highlights improved yields in both lowland and highland areas, with northern Sumatra's favorable conditions boosting arabica crops. Despite the El Niño-induced drought delaying southern Sumatra's harvest, shipments are expected to peak by late 2024. This recovery marks a significant turnaround from a down year, positioning Indonesia as a key player in the global coffee market.

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