Analyzing the Impact of the Covid-19 Pandemic on the Indonesian Briquette Industry Performance

Syarif Hadiwijaya, Ferly Norman, Fergyanto E. Gunawan


This study intends to analyze the impact of COVID-19 on the briquette industry in Indonesia and provide recommendations for mitigating problems that arise. To the best of the authors' knowledge, this kind of topic has not been studied yet. The research method used a questionnaire to briquette business actors and interviews with the management of the Indonesian Coconut Charcoal Entrepreneurs Association (PERPAKI). Respondents received 24 questions encompassing seven dimensions according to their situation. The results of the questionnaire were then analyzed using descriptive qualitative statistics. The study results show that 29% of business operators experienced contract cancellations, 38% experienced temporary closings, and 59% experienced decreased sales. In addition, 97% of business operators experience supply chain disruption due to scarcity of raw materials; the farmers prefer to sell fresh coconuts for export rather than processing them domestically. Lower domestic prices for Copra caused it as the main derivative product and higher prices for fresh Coconut and Coconut Shell Charcoal (CSC) for export due to increased global market demand. For the mitigation and recovery of briquette companies from the impact of the Covid-19 pandemic, the authors recommend three strategic agendas. In the short term, focus on solving shortages of raw materials and improving the Company's cash flow. In the medium term, focus on pioneering the development of supply chains and the national briquette business ecosystem. The last is long-term, focus on improving product quality and the performance of the national briquette industry to make it better and more efficient in a sustainable manner.


Pandemic COVID-19; briquettes; coconut; supply chain.

Full Text:



Directorate General of Estate Ministry of Agriculture, “Tree Crop Estate Statistics of Indonesia 2018-2020 (Coconuts),” Jakarta, Indonesia, December 2020, [Online] Available:

S. Sankararaman, T. Sferra, “Are we going nuts on coconut oil?,” Current nutrition reports, 7.3: 107-115, 2018.

S. Wu, et al., High-strength charcoal briquette preparation from hydrothermal pretreated biomass wastes,” Fuel Processing Technology, 171: 293-300, 2018.

Suttibak, S., & Loengbudnark,W, “Production of charcoal briquettes from biomass for community use,” in IOP Conference Series: Materials Science and Engineering, Bangkok, Thailand ,2018, Vol. 297 p. 012001.

D. Ivanov, A. Dolgui. “OR-methods for coping with the ripple effect in supply chains during COVID-19 pandemic: Managerial insights and research implications,” International Journal of Production Economics, 232: 107921, 2021.

S. Boccaletti, W. Ditto, G. Mindlin, A. Atangana, “Modeling and forecasting of epidemic spreading: The case of Covid-19 and beyond,” Chaos, Solitons & Fractals,135, 109794, 2020.

D. Ivanov, D, “Predicting the impacts of epidemic outbreaks on global supply chains: A simulation-based analysis on the coronavirus outbreak,” Transportation Research, Part E,136(March), 101922, 2020.

D. Chenneveau et al., Coronavirus and technology supply chains: How to restart and rebuild,” McKinsey & Company, April. 1, 2020. [Online]. Available:

M. M. Queiroz et al., Impacts of epidemic outbreaks on supply chains: mapping a research agenda amid the COVID-19 pandemic through a structured literature review,” Annals of Operations Research, 1-38, 2020.

A. Dolgui, D. Ivanov, M. Rozhkov, ”Does the ripple effect influence the bullwhip effect? An integrated analysis of structural and operational dynamics in the supply chain, International Journal of Production Research, 58(5), 1285-1301, 2020.

PERPAKI, "An internal phone survey of Covid-19 pandemic impact". Jakarta, Indonesia, June.2020.

P. Kimani, et al., Actors’ perceptions of government performance in support of value chain development in marine small-scale fisheries in Kenya,” Marine Policy, 122: 104221, 2020.

S. Shinozaki, “Dampak Covid-19 pada Usaha Mikro, Kecil dan Menengah di Indonesia: Hasil Survei Cepat,” Asian Development Bank, Jakarta, Indonesia, June. 2020.

L. Eberle et al., “New services development: a study in the context of a health organization,” International Journal of Quality and Service Sciences, 2018.

Wikipedia, “COVID-19 community quarantines in the Philippines,” 2020, [Online]. Available:

Wikipedia, “COVID-19 pandemic lockdown in India,” 2020, [Online]. Available:

Statista, “Global leading producers of coconuts 2018,” 2020, [Online} Available:

International Coconut Community, “Weekly Price Updated,” 2020, [Online], Available:

CBI, “High demand for processed fruit and vegetables due to COVID-19,” 2020, [Online], Available:

CNN, “The pandemic's newest shortage? Coconut water,” 2020, [Online] Available:

Katadata, “Encouraging Production, Ministry of Agriculture Aims Exports of Estate Products to Increase 3 Times”, 2020, [Online], Available:

I. Gunawan, et al., Typical traceability barriers in the Indonesian vegetable oil industry,” British Food Journal, 2020.

C. Chen, et al., A Cross-Country Comparison of Fiscal Policy Responses to the COVID-19 Global Pandemic,” Journal of Comparative Policy Analysis: Research and Practice, 23.2: 262-273, 2021.

C. Limpianchob, “Integrated of harvesting and production planning in aromatic coconut supply chain using mixed-integer linear programming,” International Journal of Operational Research, 30.3: 360-374, 2017.

F. Egea, et al., An efficient agro-industrial complex in Almería (Spain): Towards an integrated and sustainable bioeconomy model,” New biotechnology, 40: 103-112, 2018.

O. A. Kosareva, et al., Global trends of digitalization of agriculture as the basis of innovative development of the agro-industrial complex of Russia,” Eurasian Journal of biosciences, 13.2: 1675-1681, 2019.

L.A. Kasiri, et al., Integration of standardization and customization: Impact on service quality, customer satisfaction, and loyalty,” Journal of Retailing and Consumer Services, 35: 91-97, 2017.

D.D. Dong, et al., Restructuring toward a modernized agro-food value chain through vertical integration and contract farming: the swine-to-pork industry in Vietnam,” Journal of Agribusiness in Developing and Emerging Economies, 2020.



  • There are currently no refbacks.

Published by INSIGHT - Indonesian Society for Knowledge and Human Development