Tuesday, September 1, 2015

Can it happen in Indonesia?

Can Indonesia accomplish what happened in the Philippines?

The composition of mango exports from the Philippines changed dramatically during the last 10 years, shifting from low-value exports (fresh mangos) to increasing quantities of high-value exports, like mango puree and dried mangos.

The graph below shows that the value of mango exports (which represents most of what is captured in commodity code 80450) nearly tripled in the span of a few years.  During the same period, Indonesia maintained it's position as a trader of raw materials, which have relatively low export value.


What does this mean?  It means that the Philippine mango industry is way ahead of the rest of Southeast Asia.

Processing, instead of exporting, the raw mangos, adds jobs and income for the Philippines. Exporting those value-added, processed goods means that more people are working and earning money than if the raw mangos were exported.

Can Indonesia do this?  More importantly, can Indonesia do this in a way that allows more poor people to work and earn money?

Resource Exchange International, Inc. (REI) has devised a path for this to happen in Indonesia.

1.  Develop rural-based technology and processes that can produce exportable dried mangos.

Done.  You can find these delicious dried mangos in the US.

2.  Educate local residents to carry out the procedures under REI supervision.

Done.  You can view a short video to see what this looks like..

3.  Create a training and production facility which can expand a competent workforce able to operate and manage rural-based fruit processing enterprises.

REI will seek donors to fund a $250,000 project which establishes a training and production facility.  Without such a facility poverty alleviation goals may be sacrificed as the industry develops.  To join REI in their efforts to champion opportunities for the poor in Indonesia, select "Boaz Project" on this page and then complete the rest of the form.

Together, we can build people to build the nation of Indonesia.




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