PALMOILMAGAZINE, JAKARTA – The First World War had a significant impact on the development of palm oil plantations in Sumatra. Before 1917, the plantations covered about 1,605 hectares, but by 1918, this expanded to 2,100 hectares with 19 companies cultivating palm oil. That same year marked a historic milestone for Indonesia with the construction of the first palm oil mill near Sungai Liput.
According to information from Pusat Penelitian Kelapa Sawit (PPKS), quoted by Palmoilmagazine.com on Monday (2/9/2024), several major companies such as HVA, Asahan Cultuur Mij, and Socfin played key roles in the early 20th century. Indonesia’s first crude palm oil (CPO) factory was built in Tanah Itam Ulu in 1913 and became operational in 1916, marking the beginning of Indonesia’s palm oil industry.
The progress was closely tied to the “East Sumatra” region, the first area to develop large-scale plantation industries. East Sumatra bordered Aceh to the northwest, Tapanuli to the southwest, Bengkalis to the southeast, and the Malacca Strait to the northeast. Officially established on 15 May 1873, its capital was Bengkalis.
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This history showed how the first world war accelerate palm oil industrial expansion in Indonesia, namely in Sumatera Island which became the significant center of plantation industrial map in the world. (P2)
