Applying agroforestry, the Indonesian coffee industry hopes to withstand market instability
Under pressure from unpredictable market instability in the market and climate, the Indonesian coffee industry is facing the risk of declining productivity, quality, and even position in the industry. To respond, Indonesian coffee farms are making efforts to apply agroforestry models in coffee production. They believe that adopting this approach can increase productivity while minimizing costs and negative impacts on the farm.” “According to a report in early 2024. Let’s find out with XLIII Coffee!
Climate and market challenges
According to a report in early 2024, the Indonesian coffee industry is under a lot of pressure in cultivation and production. Major challenges include rising fertilizer prices, escalating living costs, and increasingly harsh weather. Fertilizer prices continue to skyrocket, creating a huge financial burden for farmers in low- and middle-income countries. El Niño and positive dipole climate patterns in the Indian Ocean caused months-long drought across Indonesia. The river basin in the Batutegi Forest, near the southern coast of Sumatra's Lampung province, is almost depleted, causing soil quality to decline, severely affecting coffee productivity and quality.
Besides, forest density in Indonesia has decreased to an alarming level. Lampung province lost 281,000 hectares (694,000 acres), equivalent to 16% of its tree cover, in the two decades leading up to 2022. Batutegi's primary forest area is now less than one-fifth of its original area. This causes Indonesian coffee regions to lose ecological balance and exacerbates the negative impacts of climate change.
The Indonesian coffee industry is under a lot of pressure in cultivation and production
Indonesia's coffee industry increases preparedness for agroforestry
According to coffee farmers in some areas of Indonesia, coffee production is decreasing. Climate change is becoming increasingly erratic, threatening the health of growing areas. As a result, local communities such as Batutegi have adopted new agroforestry and livestock farming techniques. Batutegi farmers diversify their land by planting fruit and nut trees among coffee trees, aiming to further maximize production potential and limit deforestation.
Additionally, agronomists are working to improve soil fertility to increase productivity for smallholders. Farmers in many regions of Indonesia are also reusing agricultural waste to reduce their dependence on chemicals, increase natural productivity, and limit their environmental impact. For example, farmers in Sumber Makmur have started collecting livestock manure to create compost and compost. Homemade mixtures of fertilizers and organic fertilizers help farmers in Batutegi province avoid the soaring prices of chemical fertilizers, which rose to record levels after the war in Russia and Ukraine.
Indonesian coffee farmers apply agroforestry techniques
With efforts to implement farming according to the agroforestry model, coffee farmers can adapt and improve difficulties in fertilizer price market instability and climate change. The initial achievements of this farming method have also received national recognition, affirming this as a useful solution to industry challenges.
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