The Bali Observer

Monday, 21 September 2026

Koster backs Bali export-hub push as 2026 trade stays broadly flat

Bali Governor Wayan Koster and export-industry groups want to formalise the island’s role as a trade and export hub, even as BPS Bali data show merchandise exports broadly flat in the first half of 2026 and key markets diverging.

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Editor: Mursyid Sonsang

· Event date: · 5 min read

Badung, Bali — — Bali Governor Wayan Koster is backing a push to position the island as an export and trade hub for goods from across Indonesia, even as recent data show Bali’s merchandise exports broadly flat in the first half of 2026, according to Statistics Indonesia (BPS) Bali and local media reports.

Koster outlined the hub concept at an event attended by the Bali chapter of the Indonesian Export Companies Association (Gabungan Perusahaan Ekspor Indonesia, GPEI) and other business stakeholders, where he said Bali already functions as an export link for products from provinces such as West Java, Central Java, East Java, Makassar, West Nusa Tenggara, East Nusa Tenggara and Papua, but without a formal framework.

According to Koster, those products are already shipped through Bali, and he wants that role to be formalised so exporters can better leverage the island’s international connectivity and global name recognition. He argued that Bali’s reputation could add commercial value to goods routed through the province, provided that product quality standards are maintained.

Exports broadly flat in early 2026

BPS Bali data cited by local media show that Bali’s export performance has been subdued in early 2026. In one report, the provincial statistics office noted that the value of Bali’s goods exports in January–June 2026 reached about US$280.5 million, down 0.88% compared with the same period of 2025. Another outlet, using BPS figures for the first seven months of the year, reported cumulative exports of US$326.48 million for January–July 2026, up 1.16% from US$322.75 million in the corresponding period of 2025.

The data suggest that Bali’s merchandise exports were little changed overall in the first half of the year, with performance varying by destination market. BPS Bali reported that exports to the United States, Bali’s largest single market, declined 8.30% year on year in January–June 2026 to US$82.93 million, while exports to China fell slightly to US$25.22 million. In contrast, shipments to Thailand rose sharply to US$20.45 million, up 186.69% from the first half of 2025.

At an export send-off ceremony in August 2026, Bali exporters shipped 3.5 tonnes of salak gula pasir snake fruit from Karangasem to China, valued at about US$13,000, underscoring the province’s role in marketing specialty agricultural products. The event was attended by Koster and the deputy trade minister, highlighting national-level interest in supporting Bali-based export activity.

Partnerships to support the hub vision

GPEI Bali has moved to strengthen institutional cooperation around the export-hub agenda. At a ceremony in Denpasar in August 2026, the association’s regional leadership for the 2026–2031 term was inaugurated in an event attended by Koster, the deputy trade minister and business leaders. Local reports state that GPEI Bali aims for the island to be recognised not only as a global tourism destination but also as an international trade centre, or trade hub, and is working with government and private-sector partners to boost exports.

According to Indonesian media coverage, the provincial government, GPEI, the regional chamber of commerce and other business organisations are seeking to coordinate on issues such as access to finance, market development and compliance with export requirements. Details of specific sectoral targets or commodity priorities under the hub plan have not yet been publicly specified in the available reports.

Cultural center and expo facilities

The hub proposal is linked to long-term plans for the Bali Cultural Center (Pusat Kebudayaan Bali, PKB) in Klungkung Regency, where the provincial government is preparing a major cultural and events complex that includes exhibition and expo facilities. The project’s core zone is being designed and tendered with the aim of starting construction in late 2026 and completing it around the end of 2027, according to statements by Koster reported by regional media.

Local outlets report that the provincial government has allocated a budget in the range of Rp940 billion to Rp1.4 trillion for the development of the cultural center, with the central part of the complex planned to be built over roughly two years beginning in 2026. Koster has said the site is intended not only for cultural performances but also as a venue for large-scale events such as exhibitions, expos and concerts, which could provide physical space for promotion and business activities linked to the export-hub strategy.

While the hub concept leverages Bali’s international air and tourism links, the available reports do not quantify cargo capacity at I Gusti Ngurah Rai International Airport or provide detailed information on freight handling, storage and customs procedures. Those operational details, along with specific export-value or job-creation targets, remain to be clarified as the provincial government and its partners develop the proposal.

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