Dipresentasikan pada 21 September 2015 di Indonesian Students, Scholars and Society on European Entrepreneurship Symposium (ISSSEES) 2015, Parma

1. INDONESIAN SPECIALTY
COFFEE GOES GLOBAL
CATUR SUGIYANTO
AGRICULTURE ATTACHEE-BRUSSELS

2. Outline
• Coffee market in EU
• Challenges to enter the EU market
• Indonesian Specialty Coffee as Opportunity
• Marketing strategy

3. Coffee market in the EU
• 28 member states
• 1 Regulation
• 505 Million people
• 30,000 US$/capita
• 90 % food product
needs: Import

4. Coffee market in the EU
• EU consumes roasted coffee 4 kg per
capita/year: 2,000,000 tons
• Indonesia consumes 1.03 kg per capita/year:
250.000 tons
• 50% world coffee import

5. 10 largest coffee consumers
NO COUNTRY KG PER CAP CUPS/DAY
1 FINLAND 9.6 2.64
2 NORWAY 7.2 1.98
3 NETHERLAND 6.7 1.68
4 SLOVENIA 6.1 1.51
5 AUSTRIA 5.5 1.51
6 SERBIA 5.4 1.49
7 DENMARK 5.3 1.46
8 GERMANY 5.2 1.43
9 BELGIUM 4.9 1.35
10 BRAZIL 4.8 1.32

6. World Coffee Imports 2015 (May)
Source: ICO Sept 2015
61%
25%
7%
3%
2% 1%
1%
0%
EU
USA
Japan
Russian Federation
Switzerland
Turkey
Norway
Tunisia

7. 10 Largest EU members Coffee Importers (percent)
Germany, 30.1
Italy, 14.2France, 9.2
Spain, 7.8
Belgium, 7.3
Netherlands, 5.9
United Kingdom, 4.7
Sweden, 3.0
Poland, 3.0
Finland, 1.8

8. EU Coffee Importers (percentage)
Source: ITC 2014
2009 2010 2011 2012 2013
Brazil 37,7 40,3 41,5 35,4 33,6
Viet Nam 15,9 13,5 13,4 18,5 20,7
Honduras 7,1 7,8 8,1 9,1 7,7
Colombia 7,8 5,8 6,5 5,7 6,8
Peru 7,1 8,6 7,8 7,6 6,4
Indonesia 5,4 4,1 3,0 3,4 5,2
India 3,2 3,6 4,8 4,7 4,7
Uganda 4,6 3,3 3,3 3,1 4,1
Ethiopia 3,9 5,1 5,1 4,5 4,0
Guatemala 2,6 3,0 2,5 2,7 1,9

9. Coffee Market Segment in the EU
• At home consumption
(70%)
– Supermarket
– Specialty coffee seller
– Organic coffee seller
– Online selling, etc. l
• Out of home
consumption (30%)
– Restaurant
– Café
– Coffee Bar
– Office
Out of Home 30 %
At home 70 %

10. Coffee Preference in EU
Sumber: CBI 2013
•High-end and high quality coffee
•Specialty Coffee (Specialty Coffee Association
Europe)
•Coffee grown with sustainable practices
•Arabica (except France and Southern Europe)

11. Unilateral Standard
•Booming of “Coffee Production Standards”:
•Fair Trade: minimum price guarantee for farmers
•Organic: organic system of coffee growing
•Rainforest Alliance: tropical forest sustainability
•UTZ Certified: improvement in business practices
and GAP global
•Starbucks (C.A.F.E. practices)
•Nespresso (AAA sustainable criteria)

12. 10 Exclusive coffee-single origin cup
• Luwak Coffee, Indonesia: €252 per kg.
• Hacienda La Esmeralda, Boquete, Panama: €164 per kg.
• St. Helena Coffee from St. Helena Coffee Company – St.
Helena: €125 per kg.
• El Injerto – Huehuetenango, Guatemala: €79 per kg.
• Fazenda Santa Ines, Minas Gerais, Brazil: €79 per kg.
• Blue Mountain Coffee, Wallenford Estate, Jamaica: €77 per kg.
• Los Planes Coffee, Citala, El Salvador: €63 per kg.
• Hawaiian Kona Coffee: €54 per kg.
• Starbucks Rwanda Blue Bourbon, Gatare/Karengera, Rwanda:
€38 per kg.
• Coffee Yauco Selecto AA, Puerto Rico: €38 per kg.

13. Challenges to enter EU market
– Strong competition
– Market Driven Standard
Buyers Certification
Buyers Requirements

14. Strategy to enter the EU market
• GI cooperation between Indonesia-EU
• Promotion of Specialty Coffee
• Direct Link between Market and Farmers
– Farm Visit of Buyers
• Global Brand Exchange
– Special Lobbying to Major Global Brand
Producer: Nestle etc

15. Indonesian Specialty Coffee as opportunity
Source: Ministry of Agriculture 2014
Map of geographic indication coffee

16. GI cooperation, Indonesia-EU
•Ministerial meeting (between Indonesia Minister for
Justice and Legal Affair and EU Commissioner for
Agriculture, Brussels, 30 January 2014)
•First exploratory talks, Brussels, late May 2014
Results: agree to establish stand-alone agreement,
broader scope of IPR protection, relation between
trademark and GI,
•Second exploratory talks was held last November
2014
• Establish Working Group on IPR

17. Participate in Specialty Coffee Exhibition, engage consumers directly

18. Cup testing during the World of Coffee Expo 2015 -Gothenburg

19. Provided funding for National Barista Champion to compete in International event

20. SELLING AT THE INTERNATIONAL COFFEE EXPO

21. Bring Indonesian coffee farmers to meet face to face with consumers, traders and distributors

22. Bisnis Visit to the Coffee Plantation

23. Introduces the role of coffee to Indonesian economy

24. Establish direct link between farmers and international buyers
Java Republic, turn over 12 million Euro (216 miliar rupiah)

25. Establish direct link between farmers and international buyers.
Bewleys, turn over 97 million Euro (1,5 triliun rupiah)

26. Indonesian coffee was tested for quality in international coffee events

27. Introduces Indonesian specialty coffee at exclusive coffee/chocolate boutique……

28. Cup testing at the local Cafe

29. KBRI Brussel
Boulevard de la Woluwe 38
Brussels 1200, Belgia
Telp. +32 27720120
Email:
kbri.brussel@skynet.be;
Terima kasih