Palm oil plantation business that runs for more than a centure still faces many challenges. Not only the social and environmental issues, the license becomes one thing to face for it is hard to get. It is still a dilemma when overlapping license still occurs.
InfoSAWIT, JAKARTA -The palm oil plantation companies successfully get law enforcement when they got the Business License to master areas for tens of years and could be prolonged as the allotment. Though it is difficult to get the Business License, within the work hard, the license should be got to operate the business in one region.
The Business License becomes the crusial condition to palm oil plantation in order to get Indonesian Sustainable Palm Oil (ISPO) mandatorily. The companies are obliged to get it (ISPO).
Every process and phase should be done. Every thing should be consistently done and it spends much time to get the license. Some (companies) will be using it for tens of years but some fail to get it.
Many stakeholders complain to get the business license. It happens for the areas are wide enough to develop palm oil. It starts from the location, the license of location and plantation license. Palm oil plantation should also massively and economically contribute to the surroundings.
Developing the infrastructure and social facilities is the first obligation to do when operating in a region. Through the development, the people will trust the palm oil plantation company and the local (regional) government would support it.
If the company gets the trust and the support, it would easily propose to get the Business License. If the company has ability in business and modal, it would be realized sooner. On the contrary, if the company has no ability, there would be collapse.
Of course the sweetness and bitterness of palm oil business would be the same with other business. If it is consistently done and with the hard work, the business would be successful. The company should collaborate with the regional government and the people and others. These are the the keys of success.
The company could get the success together with the smallholders as the partners. The involvement of the smallholders would prove that developing palm oil areas will be successful to increase the social and environmental welfare in the surroundings. The smallholders are parts of the people who run the economy in the region.
If the regional economy gets better, palm oil areas would be developing too. So palm oil areas (stakeholders) need law enforcement to be better and welfare the people in the same time.
The government,as the regulator should have good and capable regulation to regulate and formulate the licenses well. If it is done well, the same welfare through sustainable palm oil development would be realized.