[Late-Breaking Paper]: Development of Downstream Cocoa Industry: Exploring the Role of Government and Small and Medium Industry in Partnership

Abstract

Although the development of the downstream industry based on the local commodities has been a government agenda, particularly in Indonesia, few studies address the development of the industry at Small and Medium Industry (SMI) level. These papers examine the role of Government and SMI in partnership to develop the downstream cocoa industry. The six participant that represent government, academia, and the industry have been interviewed to explore the current partnership in the development of the downstream cocoa industry. Findings show the stakeholders that related to the downstream cocoa industry. The collaboration between the stakeholders lead by the government can affect the partnership in the development of the downstream cocoa industry. The study findings imply the importance of government initiatives, sustainable program, database creation, market creation, research partnership, and entrepreneurial spirit as a factor that must be enhanced to increase the partnership. The empirical findings of this study can be used as a basic knowledge to improve the development of the downstream cocoa industry at SMI level.