Minangkabau Merchants refers to merchants from West Sumatra, Indonesia.
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In 7th century, Minangkabau merchants sold the gold in Jambi and involved to formation Malayu Kingdom.[1] They became influential traders who operate on the west coast and east coast of Sumatra. gold at first became the main trade of Minang society.[2] Beside gold, Minangs also brought spice from the Sumatran hinterland to be sold in the Straits of Malacca.[3]
After the gold reserves decline, commodity became the main business of Minang people. Trade of pepper, acacia, and gambier, thrive in the 15th century until the 18th century. Followed by coffee trade in the 18th century to 19th. They brought merchandise from the interior of Minangkabau to the Straits of Malacca or the Indian Ocean for sell to foreign merchants. To the east coast, the trade is mostly done through big rivers such as Kampar, Siak, Indragiri, and Batang Hari. From these trading activities, many Minang traders who migrated and set up colonies along the west and east coast of Sumatra, even down to the Malaysian peninsula. On the west coast they established trading posts in Meulaboh, Barus, Sorkam, Natal, Tiku, Pariaman, Padang, to Bengkulu. On the east coast, their trading colonies stretching from Batubara, Pelalawan, up to Jambi.
Many Minangkabau people worked as intermediary traders for the Srivijaya empire, the Sultanate of Aceh and the Sultanate of Malacca. Minangs merchants built trading posts along the west coast of Sumatra from Meulaboh to Bengkulu.[4]
During the latter part of 18th century and the early of 19th century, Minangkabau merchants developed a flourishing trade in gambier, coffee, and textiles. This led to conflicts with both local rulers and the Dutch. Then the Minang traders, seeking free markets on the east coast of Sumatra, were attempting to break the monopolies of the Dutch and the local political authority. [5] Minang merchants declined after the Dutch defeated Minangkabau people in the Padri War. Until Indonesian independence in the late 1940s, West Sumatra and its trading system was under Dutch East Indies control.[2]
In the 1950's, the new Minang businessman raised as indigenous traders among the Chinese. The most prominent were Rahman Tamin, Agus Musin Dasaad, Anwar Sutan Saidi, Sidi Tando, Hasyim Ning, Djohan & Djohor, and Sutan Sjahsam. Tamin and Dasaad whose business interests were based upon trade in small-holders rubber, tea, coffee, and pepper. Two of brothers, Djohan & Djohor, combined with Dasaad on the import of textiles from Japan and importing raw cotton for the Indonesian textile industry. Sidi Tando, opened a paint factory and was to move into shipping in the early 1960s. Sutan Sjahsam, the brother of PNI figure Sutan Sjahrir, who owned import company, N.V. Soetan Sjahsam Corporation, and the founder of Indonesian Capital Market. Hasyim Ning, the Mohammad Hatta's step-brother, developed assembling automotive industry. In 1952, Ning was appointed President Director of The Indonesian Service Company, which imported and assembled Dodge trucks and Willeys jeeps.[6]
Trade is one of the prominent culture in Minangkabau society. For those of Minang society, as a trader not just for living and the pursuit of wealth, but also as a form of existence to become an independent. In the Minang culture is egalitarian, everyone will try to become a leader. Being a sub-ordinate other people, so it's ready to take orders, not a right choice. The principle "better to be the leader of a small group rather than a large organization men" is a principle most of the Minang community. Being a trader is one way to satisfy these principles, as well as being independent. By trade, Minang people could fulfill its ambitions, to live a normal life as they wish, to live freely without any party in restraint. So many Minangkabau wanderers prefer sunbathe sweltering on the sidewalk, selling socks, rather than having to work in an office, often in order and in the mad-scold.
The rise of commercial culture in Minang society, caused by high legacy that ensures ownership and sustainability of land for every family in Minangkabau. With ownership of the land, the position of Minang society not only as the tenants only, but also a direct dealer who sold the results to the market.
In addition, the culture that infuses culture wander independently, making the profession to trade as a beginners job to make ends meet. Therefore, be street hawkers often be the beginning for many overseas Minang.
Restaurant and food are the Minang merchants favorite sector. The Minangkabau restaurant or known as Restoran Padang in many Indonesian cities, as well as Malaysia and Singapore. The merchants always build the own-brand for their restaurant, such as Restoran Sederhana, the biggest Minang restaurant chain which has over 60 outlets whole of Indonesia.[7] In Kuala Lumpur Malaysia, Sari Ratu restaurants chain are the biggest one.
The Minangs textile trader dominated traditional market in many cities of Indonesia. In Jakarta, the merchants domination at Tanah Abang, Senen, Blok M, Jatinegara, and Bendungan Hilir. In Pekanbaru, domination at Pasar Pusat and Pasar Bawah. In Medan, domination at Sukaramai and in Surabaya they have settled in Pasar Turi.
Many of Minangkabau merchants sell gold, silver crafts, and shoes. Most of them came from Pandai Sikek, Tanah Datar and Silungkang, Sawahlunto. Many of Sungai Puar people sell of antique things.[8] They settled mainly in Cikini and Ciputat (both in Jakarta).
Many of Minang merchants were involved with publishing house and printing. The successful merchants in printing business were Joesoef Isak, founder of Hasta Mitra and H.M Arbie.[9] Beside of them, the business roled by Sulit Air people.
The Minang merchants also supported Indonesian tourism industry. Their founded hotel and tour travel company. In Jakarta, the Minang merchants develop Grand Menteng hotel chain and Basrizal Koto built Best Western Hotel in Pekanbaru and Padang. Natrabu Tour, founded by Rahimi Sutan, is the big tour travel company who has by Minang merchant.[10]
Universities in Jakarta owned by Minangkabau are University of Jayabaya, University of Persada Indonesia YAI, and University of Borobudur.
Many of Minang journalist founded media company (newspaper, magazine and television network). They are Sutan Maharaja, founded Oetoesan Melajoe on 1915, Hamka founded Panji Masyarakat magazine, Rosihan Anwar founded Pedoman newspaper, Ani Idrus founded Waspada newspaper, Lukman Umar founded Kartini magazine, Sutan Takdir Alisjahbana's son and daughter founded Femina magazine, and Abdul Latief founded TV One.
In Indonesia, the Minangkabau merchants were involved in developing the national banking industry. In 1930, Anwar Sutan Saidi founded Bank Nasional. Beside as pioneer in banking sector, the other Minang merchants, Sutan Sjahsam as pioneer of capital market industry. Sjahsam, the Sutan Sjahrir's brother, founded the broker company, Perdanas.[11]