Indonesia's chili and red onion prices tumble while export outlook faces US tariff headwinds

On 4 July 2026, data from the Bank Indonesia Strategic Food Price Information Center showed a sharp fall in several staple commodities. Red bird’s‑eye chilies dropped 7.93 % to Rp62,100 per kilogram, with other chili types falling between 3.9 % and 5.5 %. Medium‑size red onions slipped 6 % to Rp47,800 per kilogram. Prices of garlic rose 0.92 % and beef prices edged higher, while chicken, eggs and sugar saw modest declines.

In the same period, Indonesia’s May 2026 export value fell 8.3 % month‑on‑month to USD 23.2 billion. Economists warn that U.S. import tariffs could curb export growth in the second half of the year, potentially shifting orders to rivals such as Vietnam and Mexico. Nevertheless, non‑oil exports to China grew 17.7 % year‑on‑year from January to May, providing a buffer against weaker demand elsewhere.