The Indonesian Coffee Industry and Exporters Association said that due to Indonesia's severe drought, Indonesia's coffee production may shrink to the lowest level in the past decade, and it is estimated that the harvest will also fall that year, and coffee prices may rise accordingly.
Indonesia is the third-largest producer of Robusta coffee, which is mainly used to make instant coffee or coffee blends, mostly grown in the south of Sumatra, and is also used by instant coffee brands such as Nestle.
Moelyono Soesilo, director of the Indonesian Coffee Industry and Exporters Association, said the drought in Indonesia would reduce the total production in 2020-2021 from 11.5 million bags this year to 10 million bags.
According to the U.S. Department of Agriculture, this is the lowest since 2011-2012. Lampung, Bengkulu and South Sumatra are Indonesia's "coffee triangle" and major Robusta coffee bean producers, accounting for more than 70% of the country's total production.
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