Good Practice

MARKET MEDIATION - Supporting Efforts to Accelerate Reducing Poverty and Inequality through Collaborative Approach


Published: 09/05/2019

“At first we were confused that were we able to produce mocaf flour in good quality, yet the we were stuck when it comes to selling it in the market. But the guidance and training we received had helped us in getting additional income for our household’s financing.”

In rural Indonesia, most of the poor and near poor are self-employed in either agriculture or Micro and Small Enterprises (MSEs) or both. However, MSEs generally fail to grow and generate sufficient income.

KOMPAK focuses on increasing productivity of MSEs as a core area of work in its Local Economic Development Portfolio. KOMPAK, together with the government and a network of start-ups has been piloting an innovative approach to enhance MSEs ability to market and sell their products and services. This “Market Linkage” approach involves local governments, start-ups, and beneficiaries – in this case MSEs – in assessing market opportunities together and then designing viable business options to respond.


Locations:
Districts of Aceh Barat (Aceh), Pemalang and Pekalongan (Central Java), Pacitan dan Trenggalek (East Java), Bantaeng (South Sulawesi), and Lombok Utara (West Nusa Tenggara).

Impact:

  • The Market Linkage approach has been adopted by the Pacitan District Office of Cooperatives and Micro Enterprises in the Micro, Small and Medium Enterprises (MSME) development program
  • The Boga Lestari group is able to increase its income from IDR64,000 per month to IDR7.2 million per month



For further information about the good practice, download the documents below.

Keberhasilan Model Pembangunan - Ke.pdf
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