PARTNERSHIP DEVELOPMENT STRATEGIES OF COCONUT AND PALM SUGAR ENTERPRISE

Transcription

1 MINISTRY OF MINISTRY OF COOPERATIVES AND SMALL-MEDIUM ENTERPRISES REPUBLIC OF INDONESIA PARTNERSHIP DEVELOPMENT STRATEGIES OF COCONUT AND PALM SUGAR ENTERPRISE Delivered in : National Workshop Developing Small Enterprise of Coconut and Palm Sugar Thursday, December Banyumas, Central Java 1

2 LEGAL BASIS OF PARTNERSHIP UU No Act of Micro, Small and Medium Enterprises 13 Chapters concerning Partnership Definition of Partnership: An either direct or indirect cooperation within enterprise integration, in the principle of needing, trusting, strengthening and benefiting involving stakeholders of Micro, Small, and Medium Enterprises and Big Enterprises. National Government, Local Government, Enterprises, and citizens facilitate, support, and stimulate partnership activities, in the principle of needing, trusting, strengthening and benefiting among stakeholders Partnership between Micro, Small and Medium Enterprises and Big Enterprises includes skill-passing process in production, processing, marketing, funding, human resources as well as technology. 2

3 Governmental Regulation of Partnership No.44 th Government and Enterprise World gives maximum opportunity of partnership to Small Enterprises 2. Cooperation between Small Enterprises and Medium Enterprises and/or Big Enterprises is accompanied with direction and development 3. Direction and development of Small Enterprises and Big Enterprises apply in productive resources, technical guidance, technology and funding 4. Types of partnership: plasma-core, sub-contract, general trade cooperation and franchise 5. Foundation organizations make prioritized services and lenient fund access with simple procedure, lenient conditions, training and low interest rate 3

4 Introducing Partnership Either direct or indirect cooperation within enterprise integration, in the principle of needing, trusting, strengthening and benefiting involving stakeholders of Micro, Small, and Medium Enterprises and Big Enterprises.

5 a.needing each other PRINCIPLE OF PARTNERSHIP b. Trusting each other c. Strengthening each other; and d. Benefiting each other

6 a. Franchise b. General trade c. Distribution and agency Types of Partnership d. Profit sharing e. Operational cooperation f. Joint venture g. Outsourcing; and h. Other types

7 Empowerment through partnership 1. Creating enterprise nuance to trigger Partnership, according to Governmental Regulation no and Act no Increasing equality 3. Providing strengthening/stimulating support 4. Developing access of economic resources 5. Developing access of information, publication and promotion 6. Involving community 7

8 Advantages of Partnership 1. Standardization of procedure, mechanism and products 2. Avoidance of unnecessary competition 3. Avoidance of domination and protection of barrier 4. Risk sharing 5. Economics of scale and scope 6. Access and maximization of resources, technology and market 7. Uniting forces 8. Decreasing and bridging gap 9. Community prosperity 10. Stability 8

9 Market opportunity and product potential of Coconut and Palm Sugar Main Products Market Opportunity 1. Production of Coconut Sugar in Banyumas, Banjarnegara and Purbalingga Regency reaches more than 96 tons per year in units of Small Enterprises. 2. Production of Organic Crystal Coconut Sugar reaches 220 tons per month in certified farmers 1. Domestic: Food and beverage factories, food retailers, and supermarkets. 2. Export to Asian, American and European Countries: Chocolate factories, bakeries, beverages, retailers, and supermarkets. 3. Reaches 800 tons per month and keeps growing

10 Challenges in marketing Coconut Sugar and Palm Sugar Unhealthy competition among farmers of coconut and palm sugar due to their growing in numbers Main buyers begin to enter the basis of production Competition with other countries like Philippines Cooperatives shall compete with high capitals

11 Product Mechanism Farmers Producers Collector Cooperatives obtaining sap from coconut trees cooking coconut sap to coconut sugar Collecting ICS buying, packaging, distributing and promoting products Pembelian, Mengorganisir produk & Penjaminan Mutu BUYERS

12 Partnership Farmers Cooperatives Strengtheni ng Farmers capacity Maintaining quality control Certifying Organic Products (of soil and processing) Collecting products trials, practice of producing Crystal Sugar and other products 1. Conducting Internal Control System 2. Using standardized production technology assessment, socialization, registration and farming contract, internal and external inspection Matching products with grade P3R

13 Supplying products according to domestic and overseas market demand A Certifying products according to buyers request B Development Strategies of Crystal Sugar C D Standardized machine and factory Flexible financial source Actively taking part in domestic and oversea fair F E Maximizing branding and packaging

14 Role-distribution in gaining continuous control over market of organic coconut sugar: Farmers Collector CPU (finishing process) Companies/distributor s/exporters Maintaining the quality and authenticity of organic products Maintaining the quality and authenticity of organic products the stability of the supply Maintaining the quality and authenticity of organic products, schedule of processing and delivery Maintaining the quality and authenticity of the organic products, stability of market and schedule of delivery Government Providing facilities of production and regulations to promote enterprise development, etc.

15 Cautions in establishing and continuing marketing partnership Make sure that our products are really qualified as the demand of the buyers Provide services for the producers of crystal coconut sugar with social care, education etc. Negotiate with buyers in as cooperative and profitable way as possible among all stakeholders Establish MOU or partnership contract with buyers Make sure to have written agreement with buyers. Have cash payment from new buyer in the beginning purchase or 50% Down Payment for a known buyer Supervise the schedule of delivery through processing management including raw material supply, advanced processing, packaging and shipping.

16 THANK YOU Deputy of Marketing and Enterprise Networking Ministry of Cooperatives and Small-Medium Enterprises Republic of Indonesia HR Sasuna Said Street. Kav. 3-4 Kuningan, Southern Jakarta Phone Fax