JAKARTA, Sept. 17 (Xinhua) -- Indonesia is developing the downstream processing of frankincense/benzoin resin into essential oils to provide higher added value and support small and medium industries, an official said Tuesday.

"The downstreaming of frankincense/benzoin resin not only increases added value but also strengthens the competitiveness of local industries. We continue to encourage this in line with the government's natural resource downstreaming agenda," said Reni Yanita, director general of small, medium, and various industries at the Ministry of Industry.

She noted that the resin, once known mainly as a ritual ingredient and traditional fragrance, is now widely used for perfumes, aromatherapy, air fresheners, cosmetics and natural insecticides.

According to Yanita, Indonesia's frankincense/benzoin resin is recognized for its high quality and is in demand in markets such as India, Vietnam, the United States and France.

Data from Trademap.org showed that in 2024, Indonesia's exports of natural gums, resins and oleoresins, including frankincense/benzoin resin, reached 55.5 million U.S. dollars with a volume of 43,685 tons. Exports of downstream products such as essential oils and their derivatives totaled 42.3 million dollars with a volume of about 1,776 tons.

"These figures indicate that the value of downstream products is significantly higher per ton compared with raw materials, which means downstreaming will strengthen Indonesia's position in the global market," Yanita said. ■