Agribusiness

High-Potential Zone for Horticulture, Processing, and Cold-Chain

Leverage Sumedang's productive agricultural base and direct market access to Bandung-Jakarta corridor for integrated agro-processing ventures.

Productive Farmland
Farmer Cooperatives
Cold-Chain Potential

Market Opportunity

Sumedang's agricultural sector is anchored in horticulture (vegetables, citrus) and rice production, with established farmer networks and cooperative structures. Proximity to Bandung metropolitan area (2.5M+ population, 45-60 min via toll) creates immediate market access, while Jatigede Reservoir development opens opportunities for aquaculture and tourism-linked F&B.

Demand Drivers

  • Bandung Metro Fresh Produce Demand: Daily consumption markets; growing modern retail penetration
  • Cold-Chain Gap: Post-harvest losses in horticulture estimated at 20-30% regionally due to inadequate cold storage and processing facilities
  • Export Potential: GI (Geographical Indication) and organic certification pathways for premium segments; access to Kertajati Airport for air freight
  • Agro-Tourism Integration: Farm-to-table concepts linked to Jatigede destination development

Market data based on West Java agriculture statistics (BPS Jabar proxy) and industry assessments; GI opportunities subject to certification processes

Strategic Advantages

Productive Agricultural Base

Established cultivation of high-value horticultural crops (tomatoes, chilies, citrus varieties) with year-round growing seasons in upland areas. Strong cooperative structures facilitate aggregation.
West Java agriculture data (proxy)

Market Access & Logistics

45-60 minute drive to Bandung fresh markets via Tol Cisumdawu; 2-3 hour access to Jakarta via toll network. Kertajati Airport enables cold-chain air freight for export.
Toll operational data, 2024

Lower Land & Operational Costs

Processing facility land costs significantly below Bandung/West Bandung while maintaining market proximity. Labor costs competitive (UMK Rp 3.73M vs. Bandung Rp 4.48M).
UMK data, Gubernur Jabar 2025

Investment Projects Ready to Offer (IPRO)

Agro-Processing Hub — Sumedang Horticulture Center

Size: 3-10 Ha (scalable phases)

Components: Sorting/grading lines, cold storage (500-2000 ton capacity), basic processing (cutting, packaging), quality lab

Collaboration Model: JV with farmer cooperatives; Contract Farming arrangements; PPP options for infrastructure

Target Crops: Tomatoes, leafy greens, citrus, chilies

Market Channels: Modern retail (Bandung/Jakarta), export (Kertajati), institutional buyers

Cold-Chain & Packing House Complex

Size: 2-5 Ha

Facilities: Multi-temperature cold rooms (0-15°C ranges), blast freezers, ripening chambers, packing lines with traceability systems

Investment Model: Build-Operate-Transfer (BOT); Direct investment with offtake agreements; Joint venture with logistics operators

Strategic Rationale: Reduce post-harvest losses (target: 25-30% reduction); extend shelf life; enable export compliance

Project concepts developed with agricultural stakeholder input; detailed feasibility available via SIX Desk

Available Sites & Cluster Profile

Horticultural Production Clusters

Upland Zone (Darmaraja, Tanjungsari): Temperate vegetables, citrus; elevation 600-1000m; year-round production

Mid-Elevation (Pamulihan, Sukasari): Mixed horticulture; rice integration; strong cooperative presence

Lowland/Jatigede (Jatigede, Jatinunggal): Rice, aquaculture potential; tourism integration opportunities

Processing Site Proximity

To DestinationTime
Bandung Fresh Markets45-60 min
Kertajati Airport (air freight)< 1 hour
Production Clusters15-30 min

Agricultural Zone Map Placeholder

Insert: Horticultural cluster map showing production zones, existing cooperatives, proposed processing sites, and cold-chain nodes relative to toll access and markets

Success Stories & Impact Evidence

Post-Harvest Loss Reduction Case

Regional cold-chain interventions in comparable West Java horticulture zones have demonstrated post-harvest loss reductions of 20-30%, translating to significant income improvements for farmer groups and enhanced product quality for buyers.

Based on regional agribusiness program evaluations (proxy data)

Market Access Improvement

Cold storage and grading facilities enabled our cooperative to secure long-term contracts with modern retail chains in Bandung, increasing farmer prices by 15-25% vs. traditional spot markets. — Representative cooperative feedback (sector composite)

Regulatory & Incentives

Agribusiness Licensing (OSS-RBA)

Step 1: NIB & Business Classification
1-3 business days (agro-processing typically medium-low risk category)
Step 2: Facility Permits (PBG, IPAL if applicable)
14-30 days depending on scale and environmental requirements
Step 3: Food Safety Certification (BPOM, Halal if applicable)
Concurrent with facility development; 30-60 days post-completion
Step 4: Operational License
7-14 days after facility verification

Timeline based on OSS-RBA framework and sectoral regulations; coordinate with Agriculture and Food Safety agencies

Available Support & Incentives

Local Incentives

  • PBG/BPHTB relief consideration for agro-processing facilities meeting job creation/farmer partnership thresholds
  • Facilitation for contract farming and cooperative integration
  • Priority access to agricultural land conversion permits (subject to RTRW compliance)

Legal Basis: Local agricultural development regulations; inquire with DPMPTSP and Dinas Pertanian

National/Provincial Programs

  • Ministry of Agriculture cold-chain development grants
  • BPDP (Palm Oil Fund) or similar commodity support schemes if applicable
  • West Java agricultural modernization programs
  • Export facilitation via Kemendag (GI, organic certification support)

Build Integrated Agribusiness Value Chain

From farm to fork—leverage Sumedang's agricultural strengths with institutional support

Invest Sumedang - Gateway to West Java Investment Opportunities