Indonesia has the second longest coastline but salt is still imported

Published 2021년 4월 21일

Tridge summary

Indonesia, with its long coastline and vast sea area, faces a mystery as to why it remains reliant on salt imports, despite its potential for local production. Over the past decade, the country's salt imports have averaged 2.3 million tons annually, valued at around US $100 million or IDR 1.45 trillion, with Australia and India being the main suppliers. Import levels have surged in 2021, marking a 275% increase from the previous month and a 54.02% rise year-over-year. This dependence is attributed to insufficient domestic production and declining salt land due to shrinking salt ponds. The reduction in salt land, from 33,625 ha in 2005 to 27,048 ha in 2019, results in a yearly loss of 1.4%. Additionally, the country's reliance on outdated production methods, such as solar evaporation, is exacerbated by the effects of climate change and the need for modernization to enhance productivity and efficiency. Consequently, Indonesia's salt industry is grappling with significant challenges that need to be addressed to achieve self-sufficiency and reduce import reliance.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Jakarta, CNBC Indonesia - Indonesia has a coastline of 95,181 km, the second longest in the world and has a sea area of 5.8 million square km. But why is it that salt alone has to depend on imports? is there a correlation? In the last 10 years, the average import of Indonesian salt has reached 2.3 million tons. In a year, the import value of salt is at least US $ 100 million or equivalent to Rp 1.45 trillion, assuming an exchange rate of Rp. 14,500 / US $ to bring in salt from Australia and India as the biggest suppliers. Salt imports have spiked again in 2021 and have been in the spotlight of late. Based on data from the Central Statistics Agency (BPS), salt imports in March 2021 amounted to 299,736 tons. This realization increased 275% from February 2021 of 79,929 tons. Compared to the same period the previous year, salt imports rose 54.02%, where in March 2020 imports were 194,608 tonnes. Cumulatively in the first quarter of 2021, imports were recorded at 379,910 tons, an ...

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