The Growth of Coconut Oil Demand in Indonesia Indonesia is the world’s largest producer of coconuts, with an annual output of almost 20 million metric tons. This makes the country one of the biggest suppliers of coconut oil in the global market, with a total production of over 3 million tons of coconut oil every year. The growth of coconut oil demand in Indonesia has been remarkable in recent years due to numerous factors, including its multiple uses in the food and beverage industry, cosmetics, and pharmaceutical products.