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The 7th International Conference on Sustainable Agriculture and Environment IOP Publishing
IOP Conf. Series: Earth and Environmental Science 637 (2021) 012089 doi:10.1088/1755-1315/637/1/012089

Potential agro-industrial commodities for the development of

Indonesia-Turkey economic partnership

A Sumiahadi1*, M Direk2 and R Acar3

1
Department of Agrotechnology, Faculty of Agriculture, Universitas Muhammadiyah
Jakarta, Indonesia
2
Department of Agricultural Economics, Faculty of Agriculture, Selcuk University,
Konya, Turkey
3
Department of Filed Crops, Faculty of Agriculture, Selcuk University, Konya, Turkey

Corresponding author: ade.sumiahadi@umj.ac.id

Abstract. Indonesia and Turkey have different geoclimates which cause each country to
produce different agricultural commodities. This presents a great opportunity for the two
countries to trade these different commodities. Turkey and Indonesia have had a commercial,
diplomatic, and military relationship since the 16th century as the Ottoman Empire and Aceh
Sultanate. After both countries established as republic and independent countries, the bilateral
relationship between two countries was rebuilt with the first trading agreement signed on
September 14, 1958, followed by other cooperation and partnership agreements later on. At
present, the bilateral relations between the two countries, especially in the economic sector are
increasing. With the latest bilateral agreement, Indonesia-Turkey Comprehensive Economic
Partnership Agreement (IT-CEPA), launched on July 6, 2017, economic cooperation between
the two countries is expected to increase even more. Even though each year the value of trade
between the two countries has increased, but those numbers are still far below the potential of
the two countries. Therefore, it is necessary to increase trade commodities from both countries,
especially agro-industrial commodities. This paper aims to provide a brief overview of some
potential agro-industrial commodities to increase trade value between Indonesia and Turkey.

1. Introduction
The development of the world economy since the end of the 20th century has opened up opportunities
for trade relations between countries. This has resulted in a faster flow of goods and services between
countries. Some economists argue that trade between countries should be left free in order to minimize
the imposition of tariffs and other barriers. This is based on the argument that trade liberalization will
provide benefits for countries involved in trade, as well as increase greater welfare. Trade
liberalization by reducing tariff and non-tariff barriers is carried out based on agreements between
countries.
Indonesia has agreed on free trade agreements at the regional level with ASEAN countries.
Meanwhile, trade agreements with other countries outside ASEAN are carried out through bilateral
relations agreements. So far, Indonesia's bilateral trade has been dominated by five main trading
partners, namely China, the United States, Japan, India and Singapore. However, bilateral trade with
other developing countries must also be increased to develop new market alternatives and strengthen
bilateral relations with these countries.
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The 7th International Conference on Sustainable Agriculture and Environment IOP Publishing
IOP Conf. Series: Earth and Environmental Science 637 (2021) 012089 doi:10.1088/1755-1315/637/1/012089

One of the countries that have great potential in developing bilateral trade is Turkey. Turkey, as
located in the conjunction of Asia and Europe, and Indonesia, as located in the conjunction of Asia
and Australia becomes geographically and geopolitically strategic markets for each country. Indonesia
is also a populated country with a politically and economically strong influence in Southeast Asia.
Turkey also to be considered as a gateway to trade and investment because of its proximity to major
markets such as Europe, the Middle East, and the Caucasus [1].
Bilateral relations between Indonesia and Turkey started in 1950. Even before that, historically,
diplomatic relations between Indonesia and Turkey had been formed since the early 16th century
during the Ottoman Empire and the Aceh Sultanate. During this diplomatic relationship, Aceh and
ottoman traded some commodities, especially spices. As a result of harmonious diplomatic relations
between Aceh and the Ottomans, in 1537, the Ottoman sent military aid and weapons to help Aceh
fight the Portuguese colonialism [2]. This diplomatic relationship then began to weaken at the end of
the 16th century. Then in 1850, Aceh began to renew relations with the Ottoman, but the relationship
did not go well enough because the two countries were in an unstable condition due to pressure from
the West [2,3].
According to the site of the Ministry of Foreign Affair of the Republic of Indonesia, after both
countries established as republic and independent countries, the bilateral relations between the two
countries were rebuilt officially in 1950. Indonesia opened its Embassy in Ankara in 1958. Indonesia
and Turkey signed the first trading agreement on September 14, 1958. After that, the relationship
between the two countries has been strengthened by many agreements followed later on. Indonesia
and Turkey constitute a significant part of the world economy with a strongly improving prospect for a
sustaining acceleration of development. Both are members of the Group of 20 countries with the
strongest economy (G20), the Organization of Islamic Conference (OIC), and the Organization of
Eight Developing Countries predominantly Muslim (D8), implying opportunities to influence
developments in the world economy.
The agricultural sector is one of the most important economic sectors in the two countries,
contributing significantly to national income and employment. The agriculural sector also has a high
proportion in international trade of the two countries [1][4]. According to the [5], the agro-industrial
sector is one of the highest sectors that contributed to the international trade between Indonesia and
Turkey especially in the Marmara Region. The agro-industrial sector also has several high potential
commodities to increase the volume and value of trading between the two countries. This paper tries to
give some brief information about some agro-industrial commodities that have a high potential to
increase international trade between Indonesia and Turkey.

2. Current situation of international trade between Indonesia and Turkey

Economic diplomacy is the main focus of the implementation of Indonesia's foreign policy towards
Turkey. In enhancing Indonesia's economic cooperation relationship with Turkey, Indonesia already
has a strategy to increase its cooperation with Turkey. The steps taken by Indonesia to increase its
economic cooperation have received good results. The two countries have signed agreements and
MoU’s to improve the performance of economic relations between the two countries.
The latest economic agreement between the two countries is the Indonesia-Turkey Comprehensive
Economic Partnership Agreement (IT-CEPA). The signing was carried out on July 7, 2017, in Ankara
by the Indonesian Minister of Trade Enggartiasto Lukita and Turkish Economy Minister Nihat
Zeybekci during the state visit of the President of the Republic of Indonesia, President Joko Widodo to
Ankara, Turkey. The idea of establishing an IT-CEPA was previously discussed at the 7th Indonesia-
Turkey Joint Commission Session in 2008 in Ankara, Turkey. It is hoped that the establishment of the
IT-CEPA can further enhance economic cooperation between Indonesia and Turkey.
IT-CEPA targets an increase in the value of bilateral trade between Indonesia and Turkey worth
US$ 10 billion until 2023 [6]. IT-CEPA is expected to reduce obstacles in the implementation of
bilateral trade between the two countries such as export-import prices, tariff and non-tariff barriers for
products of the two countries [6,7].

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The 7th International Conference on Sustainable Agriculture and Environment IOP Publishing
IOP Conf. Series: Earth and Environmental Science 637 (2021) 012089 doi:10.1088/1755-1315/637/1/012089

Figure 1. Trade value between Indonesia and Turkey (US$) [8]

Since its launch, the IT-CEPA negotiations have not been completed and are still ongoing. The IT-
CEPA negotiations began in January 2018 and are currently entering the fourth round of negotiations
which will be held on January 30-31, 2020 [9]. The fifth and sixth rounds of negotiations that are
expected to take place in April and July 2020 are likely to have to be postponed due to the pandemic
situation that is happening around the world.
Table 1. Turkey’s export value to Indonesia of some major commodities (000 US$) [10]
Year
Commodities
2017 2018 2019
Machinery, mechanical appliances, nuclear reactors, boilers; parts
thereof 29,111 35,580 42,524
Iron and steel 26,378 1,822 1,198
Inorganic chemicals; organic or inorganic compounds of precious
metals, of rare-earth metals, ... 24,610 38,415 37,856
Tobacco and manufactured tobacco substitutes 18,989 29,006 33,049
Electrical machinery and equipment and parts thereof; sound recorders
and reproducers, television ... 18,973 14,502 17,048
Carpets and other textile floor coverings 12,914 15,610 18,012
Salt; sulphur; earths and stone; plastering materials, lime and cement 9,766 12,017 8,201
Vehicles other than railway or tramway rolling stock, and parts and
accessories thereof 9,026 9,530 4,464
Cotton 8,457 22,760 13,072
Articles of apparel and clothing accessories, not knitted or crocheted 6,806 5,275 5,196
Plastics and articles thereof 4,989 5,482 7,928
Products of the milling industry; malt; starches; inulin; wheat gluten 4,852 9,597 12,326
Articles of iron or steel 4,600 7,446 7,222
Optical, photographic, cinematographic, measuring, checking, precision,
medical or surgical ... 4,456 5,532 11,787
Man-made filaments; strip and the like of man-made textile materials 4,435 5,815 11,077
Edible fruit and nuts; peel of citrus fruit or melons 4,561 2,161 1,040
Articles of stone, plaster, cement, asbestos, mica or similar materials 3,967 5,924 4,133
Man-made staple fibres 3,421 3,592 3,607
Articles of apparel and clothing accessories, knitted or crocheted 2,241 3,896 5,251
Miscellaneous edible preparations 1,943 2,018 2,171
The current situation of international trade between Indonesia and Turkey can be seen in Figure 1.
From 2016 to 2018 the trade value between Indonesia and Turkey increased for both countries.
Indonesia’s export to Turkey increased by 15.95%, while Turkey’s export to Indonesia increased by

3
The 7th International Conference on Sustainable Agriculture and Environment IOP Publishing
IOP Conf. Series: Earth and Environmental Science 637 (2021) 012089 doi:10.1088/1755-1315/637/1/012089

96.53% in two years. However, in 2019, the trade value declined for the two countries. Indonesia’s
export to Turkey slightly declined by 3.43%, while Turkey’s export to Indonesia declined by 44.07%.
The export value of some of Turkey's major commodities to Indonesia is shown in Table 1. In
2019, the largest export value was from machinery, mechanical appliances, nuclear reactors, boilers
and parts thereof, by US$ 42.52 million which contributed 15.35% to the total export value., followed
by inorganic chemicals; organic or inorganic compounds of precious metals, of rare-earth metals, etc.
and tobacco and manufactured tobacco substitutes, by US$ 37.85 and 33.05 million which contributed
13.67 and 11.94%, respectively.
Table 2. Indonesia’s export value to Turkey of some major commodities (000 US$) [10]
Year
Commodities
2017 2018 2019
Man-made staple fibres 395,931 353,343 374,836
Man-made filaments; strip and the like of man-made textile materials 219,495 161,676 104,853
Rubber and articles thereof 178,387 173,562 126,225
Animal or vegetable fats and oils and their cleavage products; prepared
edible fats; animal ... 92,162 54,196 46,740
Electrical machinery and equipment and parts thereof; sound recorders
and reproducers, television ... 76,064 69,083 56,897
Footwear, gaiters and the like; parts of such articles 64,520 58,055 51,954
Paper and paperboard; articles of paper pulp, of paper or of paperboard 49,147 75,974 76,463
Vehicles other than railway or tramway rolling stock, and parts and
accessories thereof 40,383 43,085 29,348
Miscellaneous chemical products 36,309 33,326 20,318
Plastics and articles thereof 36,084 28,473 18,350
Machinery, mechanical appliances, nuclear reactors, boilers; parts
thereof 31,746 26,323 36,376
Mineral fuels, mineral oils and products of their distillation;
bituminous substances; mineral ... 31,259 2,102 7,376
Tin and articles thereof 24,507 26,614 24,238
Organic chemicals 18,477 12,096 10,099
Tanning or dyeing extracts; tannins and their derivatives; dyes,
pigments and other colouring ... 18,260 16,856 15,818
Articles of apparel and clothing accessories, knitted or crocheted 15,860 11,097 8,134
Soap, organic surface-active agents, washing preparations, lubricating
preparations, artificial ... 15,776 10,069 6,439
Articles of apparel and clothing accessories, not knitted or crocheted 15,291 14,451 12,407
Wood and articles of wood; wood charcoal 12,489 11,341 10,246
Cotton 11,296 9,502 5,491
Miscellaneous manufactured articles 10,547 8,720 8,652
Optical, photographic, cinematographic, measuring, checking,
precision, medical or surgical ... 9,130 7,083 7,899
Musical instruments; parts and accessories of such articles 8,452 8,453 10,489
Edible fruit and nuts; peel of citrus fruit or melons 6,839 5,792 5,362
Residues and waste from the food industries; prepared animal fodder 6,018 8,228 18,682
Articles of iron or steel 5,939 9,643 12,915
Cocoa and cocoa preparations 5,565 5,919 8,406
The export value of some of Indonesia's major commodities to Turkey is presented in Table 2. In
2019, the largest export value was from Man-made staple fibers, by US$ 374.83 million which
contributed 12.19% to the total export value, followed by rubber and articles thereof., and man-made
filaments; strip and the like of man-made textile materials, by US$ 126.22 and 104.85 million which
contributed 10.34 and 8.60%, respectively.

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The 7th International Conference on Sustainable Agriculture and Environment IOP Publishing
IOP Conf. Series: Earth and Environmental Science 637 (2021) 012089 doi:10.1088/1755-1315/637/1/012089

3. Potential agro-industrial commodities

As mentioned before that the agricultural sector is the biggest and one of the most important economic
sectors in the two countries. The agricultural sector is one of the sectors that have a higher proportion
in Turkey’s international trade, and the increase of the trade value of this sector is really important to
enhance the international trade of Turkey [4].
According to the data [10], in 2019, the agro-industrial commodity of Indonesia's export that had
the highest value was rubber and articles thereof, followed by paper and paperboard; articles of paper
pulp, of paper or of paperboard, animal or vegetable fats and oils and their cleavage products, residues
and waste from the food industries; prepared animal fodder, and cocoa and cocoa preparations. While,
the agro-industrial commodity of Indonesia's import that had the highest value was cereals, followed
by residues and waste from food industries; prepared animal fodder, rubber and articles thereof,
cotton, and sugar and sugar confectionery.
The same source also shows that the highest agro-industrial commodity of Turkey’s export was
edible fruit and nuts, followed by rubber and articles thereof, preparation of cereals, flour, starch or
milk, preparation of vegetables, fruit, nuts or other parts of plants, and cotton. While, the highest agro-
industrial commodity of Turkey’s import was cereals, followed by cotton, rubber and articles thereof,
paper and paperboard; articles of paper pulp, of paper or of paperboard, and oil seeds and oleaginous
fruits; miscellaneous grains, seeds and fruits; industrial or medicinal use.
In the term of bilateral trade between Indonesia and Turkey, according to Table 1 and 2, the highest
agro-industrial commodity of Turkey's export to Indonesia was tobacco and manufactured tobacco
substitutes by US$ 33.05 million which contributed 11.94% to the total export value, followed by
cotton and products of the milling industry, malt, starches, inulin and wheat gluten by US$ 13.07 and
12.33 million and contributed 4.72 and 4.45%, respectively. While, the highest agro-industrial
commodity of Indonesia's export to Turkey was rubber and articles thereof by US$ 126.22 million
which contributed 10.34% to the total export value, followed by paper and paperboard; articles of
paper pulp, of paper or of paperboard, and animal or vegetable fats and oils and their cleavage
products by US$ 76.46 and 46.74 million and contributed 6.27 and 3.83%, respectively.
Indonesia and Turkey have different climates. Indonesia has tropical climates, while Turkey has
subtropical climates. This climate difference causes the production of agricultural commodities in the
two countries to be very different. This is very beneficial for the trade process of the two countries as
an effort to meet the needs of agricultural and agro-industrial products that cannot be produced in their
respective countries. Indonesia and Turkey have various agricultural commodities that have a high
reputation in the world. The production of several agricultural commodities from the two countries
ranks as the highest level of production in the world.
Many agricultural and/or agroindustrial commodities of Turkey highly potential to enhance the
international trade between Turkey and Indonesia. [1] reported the results of an analysis of agricultural
products from Indonesia and Turkey that can be developed to increase import and export between the
two countries. The results of the analysis showed that three Indonesian products (palm oil, natural
rubber, and banana) and three Turkish products (wheat, maize and cotton lint) have a high potential to
be developed into superior commodities for each country to increase the import and export between
the two countries.
[5] stated that Indonesia has some potential agro-industrial commodities that can meet Turkey's
total import needs. These commodities are natural rubber, palm oil, coconut, pepper, coffee and tea,
and seafood products. On the other side, [11] also stated that to meet Indonesia's import needs and
increase Turkish exports to Indonesia, several agro-industrial commodities can be developed, such as
wheat flour, olive oil, olive, tomato paste, nuts, tobacco, and fresh fruit and vegetables.

3.1. Potential commodities of Turkey

In general, Turkey has a subtropical climate. However, because of its location which is surrounded by
oceans on three sides, namely the Black Sea in the north, the Mediterranean Sea in the south, and the
Marmara Sea and the Aegean Sea in the west, making several areas in Turkey have different micro-

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The 7th International Conference on Sustainable Agriculture and Environment IOP Publishing
IOP Conf. Series: Earth and Environmental Science 637 (2021) 012089 doi:10.1088/1755-1315/637/1/012089

climates. This condition greatly affects the biodiversity and agricultural commodities that can be
developed in Turkey. However, in general, agricultural commodities in Turkey are subtropical
agricultural commodities. Turkey has an advanced and technological agricultural system. This good
agricultural system results in high agricultural production.
Table 3. Turkey’s production (tons) of some agro-industrial commodities [12]
Den
Commodities
2014 2015 2016 2017 2018
Wheat 22,600,000 20,600,000 21,500,000 20,000,000 19,000,000
Corn 5,950,000 6,400,000 6,400,000 5,900,000 5,700,000
Tobacco 74,696 67,990 74,236 93,666 75,276
Hazelnut 450,000 646,000 420,000 675,000 515,000
Olive 1,768,000 1,700,000 1,730,000 2,100,000 1,500,467
Onion 1,790,000 1,879,189 2,120,581 2,175,911 1,930,695
Orange (mandarin) 1,406,899 1,156,365 1,337,037 1,550,469 1,650,000
Grape 4,175,356 3,650,000 4,000,000 4,200,000 3,933,000
Apple 2,480,444 2,569,759 2,925,828 3,032,164 3,625,960
Pear 462,336 463,623 472,250 503,004 519,451
Apricot 678,210 696,100 749,050 1,006,653 769,927
Cherry 445,556 535,600 599,650 627,132 639,564
Peach 608,513 642,727 647,136 771,459 789,457
Plum 265,490 279,761 297,589 291,934 296,878

The production of several Turkish agricultural products ranks the top in the world in terms of total
production. According to [13], in 2018, Turkey was the number one producer in the world for the
production of hazelnuts, apricots, cherries, and figs. Second highest for melon production. Third
highest for the production of chickpeas, fresh chilies and peppers, mandarin, pistachios, and
watermelon. Forth highest for the production of lentils, tomatoes, olives, apples, and walnuts. Fifth
highest for the production of tea, sugar beets, pears, and peaches. Sixth highest for the production of
cotton, sunflower seeds, grapes, and almonds. Seventh highest for onion production, eighth highest for
barley production, ninth highest for oranges production, and eleventh highest for wheat production.
Table 3 presents production data for some of Turkey's major agricultural commodities.
Table 4 shows the volume and value of Turkey's exports for some of the major agro-industrial
commodities. The high production of agricultural commodities mentioned above shows the enormous
potential of Turkey to export these commodities with higher volume and value. Table 5 shows the
volume and value of Indonesia's imports for major agro-industrial commodities. In the table, it can be
seen that Indonesia's import needs for these commodities are quite high and in the future, it could be
higher in line with the increasing population every year. The high level of production and the high
demand for Indonesian imports of these commodities provide a huge opportunity for Turkey to be able
to increase the volume and value of exports to Indonesia to meet these import needs.

3.2. Potential commodities of Indonesia

Indonesia is an archipelago that is located on the equator so that it has a tropical sea climate. Indonesia
has high rainfall (2000-3000 mm year-1). Indonesia is located between two continents (Asia and
Australia) and two oceans (Pacific and Indian). Indonesia also has massive tropical rain forests with
hundreds of volcanoes. These conditions cause Indonesia to have very high biodiversity. Based on its
climate, agricultural products in Indonesia are dominated by tropical plant commodities.

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The 7th International Conference on Sustainable Agriculture and Environment IOP Publishing
IOP Conf. Series: Earth and Environmental Science 637 (2021) 012089 doi:10.1088/1755-1315/637/1/012089

Table 4. Turkey’s export of some agro-industrial commodities [12]

Year
Commodities
2014 2015 2016 2017 2018
Wheat
Volume (tons) 2,318,441 2,934,007 3,699,571 3,776,944 3,586,495
Value (000 US$) 989,739 1,044,528 1,132,723 1,138,347 1,092,952
Corn
Volume (tons) 424,260 790,990 1,130,452 1,237,249 1,244,186
Value (000 US$) 247,722 313,326 434,986 403,935 396,799
Tobacco
Volume (tons) 64,021 49,837 47,202 45,271 57,100
Value (000 US$) 516,182 385,095 357,449 348,441 382,463
Olive oil
Volume (tons) 24,545 18,074 30,686 60,251 81,058
Value (000 US$) 93,274 77,291 106,626 231,678 284,889
Hazelnut
Volume (tons) 147,882 143,837 134,637 160,496 162,657
Value (000 US$) 1,346,213 1,646,183 1,166,221 1,071,412 938,176
Onion
Volume (tons) 225,010 93,428 107,231 248,844 101,421
Value (000 US$) 36,740 18,644 14,088 41,151 17,205
Orange (mandarin)
Volume (tons) - - - 457,289 601,157
Value (000 US$) - - - 215,056 241,219
Grape
Volume (tons) 500,046 410,453 423,388 561,625 482,844
Value (000 US$) 715.556 595.613 558,944 613,073 658,151
Apple
Volume (tons) 189,436 222.448 215,406 297,731 334,648
Value (000 US$) 155,460 152,317 136,493 184,892 264,895
Pear
Volume (tons) 16,477 21,428 17,224 35,286 46,851
Value (000 US$) 12,697 11,264 8,841 20,102 21,841
Apricot
Volume (tons) 104,628 120,800 115,583 158,089 165,362
Value (000 US$) 374,351 344,225 313,676 313,328 302,220
Cherry
Volume (tons) 59,956 80,328 93,551 69,236 85,278
Value (000 US$) 163,331 141,317 204,029 174,792 177,168
Peach
Volume (tons) 39,577 50,617 50,745 88,970 126,908
Value (000 US$) 35,172 39,114 25,885 69,963 87,241
Plum
Volume (tons) 17,003 34,652 45,445 46,357 68,774
Value (000 US$) 14,427 17,985 17,841 26,079 24,076
The production of several Indonesian agricultural products ranks top in the world in terms of total
production. According to [13], in 2018, Indonesia ranks first for the production of palm oil, coconuts,
kapok fiber, cloves, and cinnamon. Indonesia ranks second highest for the production of natural
rubber, vanilla, and nutmeg. Third highest for the production of coffee, pepper, cocoa, rice, and
bananas. Fourth highest for the production of mango, mangosteen and guava (in cumulative), fresh
chilies and peppers, and avocado. Fifth highest for pineapple, ginger, and maize production. Sixth
highest for the production of sweet potatoes, seventh highest for the production of tea, and eighth
highest for the production of oranges. The production data for several of Indonesia's major agricultural
commodities are shown in Table 6.

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The 7th International Conference on Sustainable Agriculture and Environment IOP Publishing
IOP Conf. Series: Earth and Environmental Science 637 (2021) 012089 doi:10.1088/1755-1315/637/1/012089

Table 5. Indonesia’s import of some agro-industrial commodities [14]

Year
Commodities
2014 2015 2016 2017 2018
Wheat
Volume (tons) 7,734,352 7,623,251 10,811,237 11,641,089 10,378,656
Value (000 US$) 2,562,645 2,205,574 2,548,488 2,771,792 2,739,525
Corn
Volume (tons) 3,374,502 3,500,104 1,331,575 714,504 1,150,225
Value (000 US$) 877,096 795,460 304,765 179,870 312,704
Tobacco
Volume (tons) 2,318,441 2,934,007 3,699,571 3,776,944 3,586,495
Value (000 US$) 989,739 1,044,528 1,132,723 1,138,347 1,092,952
Onion
Volume (tons) 74,126 46,170 108,547 155,799 126,011
Value (000 US$) 48,471 34,222 61,117 76,689 72,689
Orange (mandarin)
Volume (tons) 159,061 121,476 88,683 120,355 95,965
Value (000 US$) 203,151 162,458 124,444 175,359 153,311
Grape
Volume (tons) 54,952 49,566 67,591 86,508 210,196
Value (000 US$) 160,375 148,235 206,346 260,307 646,407
Apple
Volume (tons) 140,989 85,449 141,632 155,000 164,557
Value (000 US$) 202,083 141,256 266,257 317,011 357,644
Pear
Volume (tons) 85,683 103,169 99,706 167,631 186,522
Value (000 US$) 76,681 97,024 110,432 202,770 253,863
Table 6. Indonesia’s production (tons) of some agro-industrial commodities [14]
Year
Commodities
2015 2016 2017 2018
Palm oil 31,070,015 31,730,961 37,965,224 40,567,230
Coconut 2,920,665 2,904,170 2,854,300 2,840,148
Coffee 639,412 663,871 717,962 756,051
Cocoa 593,331 658,399 590,684 767,280
Natural rubber 3,145,398 3,357,951 3,680,428 3,630,357
Ginger 313,064 340,314 216,587 207,412
Turmeric 113,101 107,770 128,339 203,457
Pepper 81,501 86,334 87,991 88,235
Clove 139,641 139,611 113,178 131,014
Nutmeg 33,711 33,305 32,842 44,100
Mango 2,178,826 1,814,540 2,203,789 2,624,783
Mangosteen 203,100 162,862 161,751 228,148
Pineapple 1,729,600 1,396,141 1,795,982 1,805,499
Banana 7,299,266 7,007,117 7,162,678 7,264,379
Avocado 382,537 304,932 363,148 410,094

The same condition also applies to Indonesian exports and Turkish imports for tropical agricultural
commodities. Table 7 presents the volume and value of Indonesia's exports for several major
agricultural commodities. While Table 8 presents the volume and value of Turkey's imports for the
major agro-industrial commodities. These tables show Indonesia’s high production and export
potential, and Turkey’s demand of agricultural commodities mentioned above. The high level of

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IOP Conf. Series: Earth and Environmental Science 637 (2021) 012089 doi:10.1088/1755-1315/637/1/012089

Indonesia’s production and potential export, and the high demand for Turkish imports of these
commodities provide a huge opportunity for Indonesia to be able to increase the volume and value of
Indonesia's exports to meet Turkey's import demands.
Table 7. Indonesia’s export of some agro-industrial commodities [14]
Year
Commodities
2014 2015 2016 2017 2018
Palm oil
Volume (tons) 28,026,621 32,543,312 28,493,069 33,519,211 34,602,284
Value (000 US$) 19,555,633 17,360,395 16,815,894 21,256,988 18,937,372
Coconut
Volume (tons) 1,711,603 1,826,310 1,584,260 1,878,834 1,985,192
Value (000 US$) 1,347,265 1,190,672 1,150,077 1,370,442 1,268,425
Coffee
Volume (tons) 384,828 502,021 414,638 467,790 279,961
Value (000 US$) 1,039,609 1,197,735 1,008,450 1,186,886 815,933
Cocoa
Volume (tons) 333,679 355,321 330,029 354,752 380,830
Value (000 US$) 1,244,530 1,307,771 1,239,621 1,120,252 1,245,800
Natural rubber
Volume (tons) 2,623,471 2,630,903 2,572,724 3,270,016 2,949,213
Value (USD 000) 4,741,574 3,699,055 3,370,341 5,588,571 4,166,903
Ginger
Volume (tons) 61,191 25,935 21,934 24,362 3,203
Value (000 US$) 49,127 18,230 10,581 13,955 3,652
Turmeric
Volume (tons) 3,808 8,671 8,309 7,796 9,541
Value (000 US$) 4,515 10,499 11,708 13,955 12,958
Pepper
Volume (tons) 34,733 58,075 53,100 42,691 47,620
Value (000 US$) 323,802 548,193 430,141 235,962 152,475
Clove
Volume (tons) 9,136 12,889 12,754 9,079 20,246
Value (000 US$) 33,834 46,484 41,569 28,919 101,766
Nutmeg
Volume (tons) 14,712 17,027 15,842 19,936 20,207
Value (000 US$) 112,248 100,141 90,469 109,217 111,684
Mango
Volume (tons) 1,149 1,243 473 2,520 2,567
Value (000 US$) 1,801 1,821 638 2,019 2,548
Mangosteen
Volume (tons) 10,082 38,177 34,955 9,167 38,841
Value (000 US$) 6,545 17,212 20,220 4,031 33,278
Pineapple
Volume (tons) 192,315 193,948 138,400 210,046 228,533
Value (000 US$) 193,351 232,111 189,938 242,003 194,456
Banana
Volume (tons) 26,264 22,308 19,024 18,177 30,377
Value (000 US$) 16,177 13,006 10,806 8,868 14,610

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IOP Conf. Series: Earth and Environmental Science 637 (2021) 012089 doi:10.1088/1755-1315/637/1/012089

Table 8. Turkey’s import of some agro-industrial commodities [12]

Year
Commodities
2014 2015 2016 2017 2018
Palm oil
Volume (tons) 633,508 670,980 604,732 623,209 655,699
Value (000 US$) 506,987 440,494 402,783 436,874 422,048
Coconut
Volume (tons) 35,536 35,201 27,989 36,190 26,277
Value (000 US$) 56,776 52,740 40,778 60,326 42,237
Coffee
Volume (tons) 37,495 48,168 44,811 57,558 62,023
Value (000 US$) 119,293 152,978 136,182 197,764 193,009
Cocoa
Volume (tons) 147,260 148,463 126,493 150,275 153,956
Value (000 US$) 493,561 493,129 446,793 458,793 412,372
Natural rubber
Volume (tons) 158,448 164,138 164,798 186,402 209,955
Value (000 US$) 342,260 254,915 226,532 347,921 325,010
Ginger
Volume (tons) 1,952 2,107 2,909 3,116 3,335
Value (000 US$) 2,021 2,080 2,687 3,506 3,722
Turmeric
Volume (tons) 687 694 998 964 1,423
Value (000 US$) 645 850 1,143 1,155 1.551
Pepper
Volume (tons) 3,878 3,502 5,103 7,777 4,932
Value (000 US$) 7,592 8,030 12,977 21,439 11,403
Clove
Volume (tons) 453 403 315 378 482
Value (000 US$) 758 691 460 892 873
Nutmeg
Volume (tons) 162 81 32 2,375 80
Value (000 US$) 77 34 194 569 268
Mango, guava and
mangosteen
Volume (tons) 381 417 583 887 1,003
Value (000 US$) 433 673 617 785 885
Pineapple
Volume (tons) 17,210 17,391 17,978 20,744 22,008
Value (000 US$) 8,792 9,536 10,194 10,329 9,916
Banana
Volume (tons) 525,293 653,436 629,449 585,631 487,706
Value (000 US$) 234,240 306,537 283,345 270,788 219,612
Avocado
Volume (tons) 332 426 710 1,214 2,071
Value (000 US$) 381 335 715 1,31 1.412

4. Conclusion
Economic relations are one of the most important foreign policies for the two countries. Efforts to
increase the value of international trade between the two countries continue to be made, including
through the establishment of agreements and MoUs. The latest economic agreement (IT-CEPA) is
expected to increase the value of international trade between the two countries. One of the trade
sectors that have a high potential to be increased is the agricultural or agro-industrial sector since the
economic sector is one of the most important and strongest sectors of the two countries. Indonesia and
Turkey have strength in several agricultural commodities with high production levels. On the other

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The 7th International Conference on Sustainable Agriculture and Environment IOP Publishing
IOP Conf. Series: Earth and Environmental Science 637 (2021) 012089 doi:10.1088/1755-1315/637/1/012089

hand, the two countries also have high import needs for commodities from both countries mutually.
These aforementioned conditions indicate that the two countries have great potential for increasing
export and import to meet each other's domestic demands.

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[13] FAOSTAT 2020 Ranking of Countries by Commodity (Food and Agriculture Oragnization of
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[14] Ministry of Agriculture of the Republic of Indonesia 2019 Agricultural Statistics 2019 vol 53
(Jakarta: Ministry of Agriculture) p 428

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