Indonesia’s Specialty Coffee Surge: A Nation on the Rise
By Daniel Woods
Indonesia is already one of the world’s top four coffee producers. But with a booming specialty scene, growing domestic consumption, and government backing, the country is positioning itself for even greater global prominence.
During the World of Coffee Asia in Jakarta (May 2025), Indonesia’s Coordinating Minister for Food Affairs, Zulkifli Hasan, made headlines by declaring his ambition: for Indonesia to overtake Vietnam in coffee production. While Vietnam currently ranks second globally, drought conditions and market challenges have tempered its short-term outlook. Indonesia sees this as a moment to strengthen its position.
Building Momentum Across the Islands
Indonesia produced roughly 6% of the world’s coffee in the 2024/25 season, according to the USDA—amounting to 10.9 million 60kg bags. That places it just behind Colombia (7%) and significantly behind Vietnam (17%) and Brazil (38%).
However, unlike the flatter, large-scale farms of Brazil or Vietnam, Indonesia’s coffee is grown across a sprawling archipelago of volcanic islands. Regions such as Sumatra, Java, and Sulawesi are being joined by emerging specialty zones in Bali and Flores.
The diverse terroir, combined with a strong internal market and a shift toward quality, gives Indonesia a unique edge. As Shae Macnamara, Founder of Expat. Roasters, puts it:
“Right now, there is this amazing balance between coffee production and consumption in a fast-growing, dynamic economy. With a large Muslim population that avoids alcohol, specialty coffee has become the social beverage of choice.”
Macnamara, whose business serves over 700 wholesale partners and is expanding internationally, believes Indonesia is experiencing a “perfect storm” of opportunity—production, consumption, and innovation all converging at once.
The Role of Specialty Roasters
Companies like Expat, Koro Roasters, and Tanamera Coffee are helping shape this momentum.
Tanamera, operating for over a decade, focuses on improving farm yields and bean quality through direct farmer engagement. Co-founder Ian Criddle notes that while Indonesia’s per-hectare yields (300–1200 kg/ha) fall behind Brazil’s average (2500 kg/ha), the emphasis should shift from volume to value.
Koro Roasters takes a different approach—seeking out farmers already using sustainable practices. Founder Alain Scialoja, a former robotics engineer, argues Indonesia may never match Vietnam’s output in volume, but it could surpass it in quality and value.
“Indonesia already produces more Arabica than Vietnam, has more land under coffee, and a much stronger domestic market. The next step is premium positioning—traceable, high-quality coffee rooted in origin.”
Education, Sustainability, and Smallholder Power
John Lee, Director at Tanamera Coffee, stresses the importance of education. His team works hand-in-hand with smallholders across Sumatra, Flores, and beyond, offering tools, feedback, and training.
“We want to make sustainability tangible. If a farmer sees better yields from pruning, fertilizing, or post-harvest practices, they’re more likely to adopt those methods.”
Scialoja adds that many Indonesian farms are already “inherently sustainable”—small-scale, mixed-crop, and often organic by default. The challenge is helping farmers document and communicate these practices to global buyers—without overwhelming them.
Cultural Connection to Origin
Indonesia’s coffee culture is more than a trend—it’s deeply rooted. Unlike many Western countries, where cafes highlight the roaster’s name, Indonesian consumers often identify coffee by its origin—Sumatra, Toraja, Flores.
Macnamara says this awareness is tied to geography and identity:
“Baristas here often come from coffee-growing regions. There’s a direct connection to origin that’s rare globally.”
This cultural connection, paired with rising domestic demand, is bolstering local industry. Farmers are increasingly motivated to stick with coffee rather than rotating crops, especially as prices remain strong.
“We want to keep Indonesian coffee in Indonesia,” says Macnamara, “but soon, you’ll be seeing a lot more of it on menus worldwide.”
Summary:
Indonesia is poised for growth in its coffee industry, driven by a booming specialty market, government support, and a strong domestic culture. While Vietnam still leads in volume, Indonesia’s diverse regions, sustainable practices, and focus on quality could make it a global leader in high-value coffee.
