Simalungun Coffee Targets Global Market via KKSU 2026

  • 19 Jul 2026 12:00 WIB
  •  Voice of Indonesia
Key Points
  • Simalungun Arabica coffee, known for its distinctive strong acidity, is gaining recognition and targeting export expansion from Malaysia to China.
  • North Sumatra Creative Works (KKSU) 2026, organized by Bank Indonesia, is helping local MSMEs expand into international markets through exhibitions, business matching, export showcases, training, and buyer networking.

RRI.CO.ID, Medan - Amid the rising urban coffee culture, Arabica beans from Simalungun Regency, North Sumatra, are stepping out of the shadows of better-known Gayo and Lintong coffees. With a pronounced and distinctive acidity, local farmers are using the North Sumatra Creative Works (KKSU) 2026 platform to expand export markets from Malaysia toward China.

Initiated by the Bank Indonesia Representative Office in North Sumatra, KKSU provides a stage for businesses to showcase regional flagship products and open broader national and international market opportunities.

Loli Saragih, a coffee entrepreneur from Simalungun, said KKSU is more than an exhibition, but also a chance for businesses to widen their market reach. She acknowledged that Simalungun coffee is not yet as famous as Gayo, Lintong or Sidikalang, but she believes it has its own quality and character.

“Simalungun Arabica is known for its strong acidity. We see good prospects ahead,” she said, as quoted by Antara.

As more farmers turn to coffee cultivation, production in the area has grown. Loli currently markets about 200 kilograms a month to Malaysia and aims to expand into China.

She said KKSU is a major opportunity to broaden marketing for Micro, Small and Medium Enterprises (MSME) from local to international levels. The event not only displays products but also offers training, packaging assistance and connects businesses with potential buyers.

Some MSME have already moved toward foreign markets while others are still exploring opportunities. Novita, an Arabica coffee farmer from Simalungun, hopes her participation in KKSU will expand her marketing network domestically and abroad.

Changing consumption habits have helped: coffee is now part of lifestyle culture, especially in urban areas. “Although Simalungun coffee is not yet famous, we are confident it can grow, especially because of its distinctive strong acidity,” she said.

KKSU also serves as a channel for other regional MSME to reach global markets. Jansen Tanuwijaya, maker of processed anchovy products in Medan, said the event is a space to open opportunities and expand business networks.

His products have already engaged potential buyers from Malaysia and have signed memoranda of understanding that are now in exploratory stages.

As the son of a fisherman in Belawan, Jansen previously collaborated with Garuda Indonesia to supply processed anchovy products for the Medan–Jakarta route. He is also pursuing buyers in Japan with facilitation from Bank Indonesia and private partners.

“We are ready if demand increases. Raw materials are abundant through family and fisher networks, we just need to process them into various flavor variants,” he said.

Coffee stalls at the North Sumatra Creative Works (KKSU) event at a mall in Medan, North Sumatra. (Photo: Antara/M. Sahbainy Nasution)

Head of Bank Indonesia’s North Sumatra Representative Office, Ameriza M. Moesa, said KKSU 2026 is a moment to strengthen the local MSME ecosystem so they become more resilient, adaptive and able to expand market access nationally and internationally. Developing MSME is one of Bank Indonesia’s priorities to support inclusive, sustainable and quality regional economic growth.

KKSU is not merely an ordinary fair, about 300 MSME participate, and it functions as a collaborative platform connecting businesses, investors, academics, communities and buyers within a reinforcing ecosystem. Held from 15–26 July 2026, the program includes flagship product exhibitions, business matching, export product showcases, talk shows, and MSME education and promotion.

The North Sumatra Provincial Administration continues to focus on enhancing regional competitiveness, especially for MSME. Data from the Provincial Cooperatives and MSME Agency recorded more than 870,000 MSME actors in 2024.

Various measures are underway to strengthen the sector. South Sumatra Governor, Bobby Nasution, urged local leaders across North Sumatra to prepare feasibility studies to bolster MSME development.

He said such studies are important so development is measured, data-driven and able to attract investors at home and abroad.

These steps show that the journey of North Sumatra’s creative products to international markets depends not only on product quality but also on building a supportive ecosystem. The challenge now is to keep developing creativity, strengthen it through collaboration, and connect it with broader markets.

An academic at the Islamic University of North Sumatra, Gunawan Benjamin, said MSME actors must be prepared to enter export markets. “Those kinds of activities are important so MSME is equipped to enter export markets,” he said.

He praised Bank Indonesia’s training and mentoring efforts, noting that when product quality meets innovation, networks and the right support, North Sumatra’s local products can become not only regional pride but also contenders in international markets. ***

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