ILO and TradeInvest Timor-Leste forge partnership to enhance coconut business opportunities

Timor-Leste, with its widespread cultivation of coconuts across coastal areas, boasts an estimated annual production of 30,000 tons.

On May 23rd, the International Labour Organization (ILO) and TradeInvest Timor-Leste signed a Technical Cooperation Agreement aimed at fostering coconut business opportunities in Timor-Leste in collaboration with the private sector. Supported by the European Union Agroforestry Skills project, the agreement underscores the shared commitment to expanding the market, promoting trade and investment, and enhancing capacities within Timor-Leste's coconut value chains.

Timor-Leste, with its widespread cultivation of coconuts across coastal areas, boasts an estimated annual production of 30,000 tons. With over 16,000 farmers covering 12,000 hectares, the coconut industry holds immense potential, including untapped international markets such as Australia and Europe for by-products like pulp, husk/coir, and shell.

Decio Ribeiro Sarmento, Director of Export Promotion at TradeInvest TL, highlighted the opportunity to diversify coconut products beyond domestic consumption and limited processing, aiming to explore a broader range of derivatives like coco peat and coco RBD oil for export.

ILO Country Director for Indonesia and Timor-Leste, Simrin Singh, emphasized the project's support for the coconut value chain's development, focusing on skills training for economic empowerment, particularly among youth, women, and rural families. This initiative aims to foster industrial-scale coconut plantations and businesses, bolstering the national economy and creating decent employment opportunities.

EU Ambassador Marc Fiedrich underscored the Agroforestry Skills project's role in diversifying Timor-Leste's economy, identifying new agroforestry opportunities within the coconut value chain. The project seeks to enhance the capacity of youth and women, equipping them with entrepreneurship and agroforestry skills to drive economic growth and employment.

Following the agreement signing, a workshop featuring successful Indonesian coconut businesses PT Bali Coco and PT Indobriket was conducted. The session aimed to share insights and expertise on developing a thriving coconut industry. This workshop serves as an introductory step to engage and empower enterprises in Timor-Leste, fostering their participation in the coconut value chain's development facilitated by the EU-funded Agroforestry Skills for Employment and Resilience project, in collaboration with the ILO.