Trade and Investment Bulletin Volume VI, May 2017 | Page 11

Number I | September 2016
To have a standardized certification gives
a set of benefits including wider access
for organic products into international
markets, a higher degree of consumer
protection, and broader access to
premium markets. Nowadays, through
participating in organic and sustainable
agriculture programs, producers could
gain multiple advantages.
Overview of Global Market
As stated earlier, organic products saw
plausible demand increase not only in
Indonesia. The rise of queries for organic
products reflects the increase of their
sales in a global scale. In 2014, the sales
of organic products with estimated value
of USD80 billion were generated from
43.7 million hectares of organic
plantations throughout the world. Fifteen
years earlier, in 1999, organic market size
was valued around USD15.2 billion. The
combined area of an organic farm in the
world was approximately 11 million
hectares. In 2014, the countries with the
largest market for organic food were the
United States (27.1 billion Euros),
Germany (7.9 billion Euros) and France
(4.8 billion Euros). But the largest
distribution of retail sales by single
market was the United States (comprising
of approx. 43 percent of the global
market), followed by the European Union
(23.9 billion Euros/38 percent) and China
(3.7 billion Euros/6 percent). (Source:
Research Institute of Organic Agriculture
(FiBL-IFOAM survey 2016).
According to the FIBL’s 2016 survey,
Indonesia in 2014 ranked as the country
with the 8th highest increase of organic
agricultural area (47,950 hectares). That
surge contributed to Indonesia’s total
area of 88,247 hectares (0.16% of the
world total).
BIOCert Indonesia: Toward Global
Organic Product Market
Indonesia has 19 organic products
certification agencies operating in the
country. While 8 of them are locally
based agencies, the rest are international
organizations specializing in certificating
organic products for export.
(Source: Indonesia Invites)
Number VI / May 2017 | Trade & Investment Bulletin
11