PALMOILMAGAZINE, JAKARTA — Efforts to modernize and strengthen the sustainability of Indonesia’s smallholder palm oil sector continue to gain momentum. Since its establishment in 2015, the Plantation Fund Management Agency (BPDP) has played a strategic role in advancing sustainable palm oil through various programs — one of the key initiatives being the Facilities and Infrastructure (Sarpras) Program for independent farmers.
This program serves as a vital tool to improve farm-level infrastructure and production capacity. Beyond road construction and upgrades, Sarpras also includes support for seeds, fertilizers, pesticides, post-harvest tools, farming machinery, harvest transport, and plantation verification. In 2024 alone, the program disbursed IDR 63.5 billion in funding.
To accelerate farmer access to this support, the Indonesian Sustainable Palm Oil Farmers Forum (FORTASBI) held a Technical Training on Sarpras and PSR Application in March 2025. The event featured mentors from the Directorate of Palm Oil and Other Palmae Crops, Ministry of Agriculture, as well as experienced independent farmers.
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The training aimed to equip farmers with practical knowledge on how to submit proposals and fulfill administrative requirements. All participants had active, verified accounts for submitting proposals. Mentors guided attendees through data entry simulations and shared tips on preparing documents according to BPDP’s standards.
“This training helped us understand exactly what documents are needed — not just farmer data, but also institutional documents and coordination with local governments,” said one participant, as quoted by Palmoilmagazine.com from Fortasbi’s official site on Friday, May 16, 2025.
While the program offers significant opportunities, BPDP’s annual report noted that auditors called for several improvements. These include evaluating the transparency of tender implementers, ensuring timely disbursement, expediting fund releases through Sucofindo, and improving administrative systems and complaint handling.
The Ministry of Agriculture also stressed the importance of collaboration between farmers and local governments, especially in accessing revenue-sharing funds (Dana Bagi Hasil/DBH) from palm oil. These funds can be used to build farm roads and access social insurance programs like BPJS Kesehatan and BPJS Ketenagakerjaan.
FORTASBI hopes this training becomes a turning point for independent farmers — especially those certified under ISPO or RSPO — enabling them to confidently apply for Sarpras assistance. With a better grasp of program procedures and requirements, farmers are expected to boost their productivity and competitiveness in the sustainable palm oil supply chain.
This initiative reinforces the government and civil society’s shared commitment to ensuring that smallholder farmers play a key role in the transformation of Indonesia’s palm oil industry toward a more modern, inclusive, and sustainable future. (P2)