Southeast Sulawesi village coop exports charcoal to China

by Rachel Morgan News Editor

A village cooperative in Southeast Sulawesi, Indonesia, has successfully exported 50 tonnes of coconut shell charcoal to China. The shipment, valued at Rp750 million (approximately US$46,300), marks a significant step for the Awunio Cooperative in South Konawe.

Expanding Economic Opportunities

This inaugural export is considered a crucial milestone in strengthening the local economy, according to Deputy Governor Hugua. Awunio Cooperative is the second village cooperative in Indonesia – and the first in eastern Indonesia – to independently conduct exports.

Did You Know? President Prabowo Subianto inaugurated approximately 80,000 village cooperatives nationwide in July 2025.

Hugua emphasized the importance of maintaining a sustainable supply to meet the demands of international buyers. The export is also being highlighted as part of the growth of Southeast Sulawesi’s non-mining sector.

Growth in Non-Mining Exports

Data indicates a substantial increase in the province’s non-mining exports. Exports reached Rp11.1 billion in 2024, rising to Rp16.37 billion (nearly US$1 million) in 2025. This trend continued into 2026, with Rp35 billion in exports recorded during January and February alone.

Expert Insight: The success of the Awunio Cooperative demonstrates the potential of locally-sourced resources to compete in the global market, and highlights the importance of government programs designed to support rural economic development.

Awunio Cooperative head Dadang credited the success to the efforts of local villagers in optimizing local resources. The cooperative’s success is linked to the government’s Red and White Village Cooperatives (KDMP) program, which aims to promote rural economic development and reduce reliance on informal lending.

Frequently Asked Questions

What is the KDMP program?

The KDMP program is a key initiative introduced by President Prabowo Subianto to promote rural-based economic development, improve access to essential goods and services, and reduce reliance on informal lenders and middlemen.

How many cooperatives are part of the KDMP program?

Around 80,000 village cooperatives were inaugurated nationwide in July 2025 as part of the KDMP program. The government aims to increase this number to more than 20,000 by midyear and 80,000 by the end of 2026.

What was the value of the recent export?

The shipment of 50 tonnes of coconut shell charcoal to China was valued at Rp750 million, which is approximately US$46,300.

If the Awunio Cooperative can maintain a consistent supply, could this export agreement lead to further economic opportunities for the region?

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