OGANIC Indonesia

Saving the Earth and Local Communities through Natural-Based Skincare

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Authors

Diajeng Aulya Sekartaji

Diajeng Aulya Sekartaji

Reza  Alamsyah

Reza Alamsyah

Zharfa Miranda Paramesti

Zharfa Miranda Paramesti

Irfan Pratama

Irfan Pratama

Paulman Stevanus Runtuwene

Paulman Stevanus Runtuwene

School

IPMI International Business School

IPMI International Business School

Professor

Amelia Naim Indrajaya

Amelia Naim Indrajaya

Global Goals

1. No Poverty 3. Good Health and Well-Being 8. Decent Work and Economic Growth 9. Industry, Innovation and Infrastructure 12. Responsible Consumption and Production

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Summary

Since 2019, PT Organic Lombok Indonesia has established itself as a leader in sustainable entrepreneurship, dedicated to uplifting local farmers in Lombok while maintaining profitability. Starting with spirulina, the company has expanded into skincare, sourcing raw materials like seaweed, spirulina, chocolate, pearls, and coffee from local farmers. OGANIC’s products, including soap, lotions, and face serum, are sold to hotels, consignment stores, and e-commerce platforms, with expansion into Australia and Japan.

Their business model blends social responsibility with financial viability, paying farmers premium prices and transforming low-cost materials like seaweed into high-value skincare products. This approach aligns with Sustainable Development Goals, improving farmer’s livelihoods and promoting sustainable agriculture. OGANIC’s Bring Back the Packaging initiative also recycles packaging, supporting their zero-waste commitment and partnerships with eco-friendly labs.

Innovation drives both sustainability and profitability, as seen in OGANIC's use of recycled plastic for eco-bricks and their sourcing of virgin coconut oil (VCO) from local farmers. OGANIC's face serum is a top-selling product and they plan to expand into lip balms and open more offline stores. Inspired by the founder's personal experiences with poor skincare treatments, the company aims to provide natural, simple skincare using Lombok’s local resources. 

The founder stated, "We’ve seen the impact our payments have on the lives of farmers and distributors. One of our distributors was able to pay for their education, and that’s when we knew we were making a real difference."

Looking ahead, OGANIC aims to scale both its sustainability initiatives and global reach, including expanding the Bring Back the Packaging program and entering the hotel amenities market. Their vision is to promote local products in Lombok’s tourism sector, driving economic growth and sustainability. OGANIC Indonesia proves that businesses can be profitable while making a positive impact on local communities and supporting global sustainability goals.

Innovation

OGANIC offers plant-based skincare products designed for acne care and skin whitening. Their innovations include eco-conscious, cruelty-free, and non-SLS formulations; all locally and ethically sourced. OGANIC prioritizes natural ingredients and sustainability, offering a range of products approved by BPOM (Indonesia’s food and drug authority) and certified Halal. They emphasize responsible skincare solutions that are gentle on the skin and the environment, appealing to those looking for ethical and effective skincare.

Non-SLS (Sodium Lauryl Sulfate) formulation means that a product does not contain SLS, a common detergent and foaming agent used in many personal care products. SLS can be harsh and irritating to the skin, stripping away natural oils and causing dryness or irritation for sensitive skin. Non-SLS formulations are designed to be gentler, using alternative, milder ingredients that still cleanse effectively without causing irritation. These formulations are preferred by people with sensitive or acne-prone skin.

OGANIC has various product lineups. They include acne treatment, brightening treatment, and perfumery in form of soap, lotion, serum, face wash, shower gel, and perfume. All of these products are using natural raw materials grown in Lombok. Seaweed and chocolate are obtained from farmers in East Lombok. While coffee and VCO are obtained from farmers in north Lombok. The company’s decision to pay coffee farmers upfront improves their financial stability, as well.  In regard to innovation, OGANIC has special pharmacists appointed for research and development of products. OGANIC plans to develop itself to broaden its product lineup and market expansion. OGANIC is currently developing products from VCO as part of their new lineup.

OGANIC also expands its market reach both domestically and abroad, in Japan and Australia. OGANIC aims to open an offline store in Japan as market interest in Japan is increasing. Domestically, OGANIC aims to provide partnership with local hotels which has the same aim in green products and sustainability to provide green amenities.

Local farmers' wellbeing is also one key concern of OGANIC. To ensure quality control, OGANIC provides research results every 6 months to ensure that the products from the farmer reach the high quality product required by OGANIC. The farmers are allowed to sell their product not only to OGANIC. OGANIC even supports the farmers with the copy of the lab result of their product to help people ensure the high quality product test of farmers product. By directly purchasing from the farmers, OGANIC could provide a high offer price on raw material provided by farmers. Ensuring the prosperity and wellbeing for the farmers and preventing exploitation of farmers.

Saving the Earth and Local Communities through Natural-Based Skincare

Inspiration

Kami merawat bumi seperti kami merawat kulitmu (we take care of the Earth just as good as how we care for your skin), ” reflects the founder’s vision for OGANIC – to create skincare products that are not only safe for human skin but also environmentally friendly. Drawing from personal experiences of frequent facial mis-treatment, the founder wanted consumers to benefit from natural ingredients sourced from earth, believing that these are, in fact, the best.

Furthermore, OGANIC is committed to educating its consumers to always do good for environment. The issue of waste pollution is extremely concerning, and one of OGANIC’s key initiatives is ensuring that all their products are non-microplastic. For example, OGANIC uses cassava bags made from cassava, which are plastic-free, water soluble, compostable within 180 days and non-toxic to the environment and marine life. They also avoid using microbeads, which are tiny plastic particles commonly found in other skincare products.

Overall impact

OGANIC drives sustainable transformation by empowering local farmers, fostering environmental stewardship, and delivering high-quality, ethically sourced products. Through fair trade practices, community engagement, and recycling initiatives, OGANIC not only elevates the livelihoods of farmers but also nurtures the land, ensuring a lasting positive impact on both people and the planet.

Business benefit

In the heart of Lombok, Indonesia, OGANIC is leading the way in natural skincare. As younger to middle-aged adults become aware of the benefits of natural products, OGANIC's popularity is soaring. Consumers increasingly prioritize sustainability and natural ingredients in their beauty routines, and OGANIC is at the forefront of this movement.

Driven by a collective shift towards more sustainable and health-conscious lifestyles, OGANIC continues to thrive despite facing challenges such as higher production costs, regulatory hurdles, and a limited target market. To sustain its growth, OGANIC has implemented strategic partnerships with hotels in Lombok that share their vision. Additionally, they are expanding their reach by partnering with domestic markets outside the Lombok area and overseas markets that prioritize sustainability and environmental concerns.

In a recent discussion, the owner of OGANIC, shared her inspiration: "My deep love for my homeland, Lombok, inspired me to help improve the welfare of its people, especially the small farmers. This led me to create natural skincare products sourced from Lombok farmers. As the saying goes, 'hitting two birds with one stone,' I aimed to create skincare that could be used at home while also helping to alleviate poverty by creating decent job opportunities for local people."

Looking ahead, OGANIC plans to open its official offline store in Lombok. They believe this will solidify their presence in the natural skincare industry while educating people about the benefits of using OGANIC products—not only for their bodies but also for the environment. By supporting OGANIC, consumers are also helping to elevate local farmers, as all ingredients are locally sourced, boosting the income of small-scale farmers.

OGANIC's journey is a testament to the power of passion and purpose. Their commitment to sustainability and community welfare is not only transforming the skincare industry but also making a positive impact on the lives of many in Lombok.

Social and environmental benefit

Bring Back Kemasan launched by OGANIC is transforming waste into opportunity, where customer who exchanges 10 empty skincare bottles from any brand will get a free sample product from OGANIC. This movement reduces the carbon footprint and minimizes environmental degradation. OGANIC highly values the foundation of their business and vision by involving farmers in every step of the process, from cultivation to delivering the final product to their customers doorstep. All recycled products are processed into eco-bricks and paving blocks.

“We receive a great amount of enthusiasm from not only the locals who live near the Lombok area who participate in our upcycle movement but also those who live outside the Lombok area. A high mail delivery fare does not stop them from showing their commitment to sustainability, “ shared Ika, one of OGANIC’s employee.

OGANIC is also committed to supporting local farmers in Indonesia, particularly in Lombok, while promoting environmental conservation. All locally sourced products come from curated regions, delivered with utmost care and devotion by the dedicated farmers in Lombok. OGANIC procures the raw materials from local farmers in Lombok, West Nusa Tenggara at a premium price. This initiative expresses gratitude for the farmers' efforts, acknowledging their vital role in providing premium raw materials that are essential to all OGANIC products.

Interviews

Ika Ayuni Prihatin, Head of Marketing

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Photo of interviewee

Business information

OGANIC Indonesia

OGANIC Indonesia

Mataram, Lombok, ID
Business Website: https://oganic.id/
Year Founded: 2019
Number of Employees: 11 to 50

OGANIC is a pioneering natural skincare in Lombok, Indonesia. Each product is backed by extensive research, ensuring that carefully selected ingredients keep the skin moisturized and well-nourished. With ingredients sourced from well-curated areas, OGANIC brings you skincare products made with love by farmers in Lombok. Valuing the backbone of their business, OGANIC ensures that the farmers are involved throughout the entire process, from the fields to your doorstep.