East Kalimantan Supports Palm oil Downstream Industries

East Kalimantan Supports Palm oil Downstream Industries
InfoSAWIT, SAMARINDA – The fast development of palm oil plantation in East Kalimantan Province urged to change the direction of development. If in the previous it focused on the upstream sector, the provincial government now supports the downstream sectors.
It would be focused in Special Economic Zone (SEZ) Maloy Batuta Trans Kalimantan (MBTK), East Kutai. So the provincial government suggested that from the development, the palm oil plantation companies should not export or sell the production, that iscrude palm oil (CPO) out of the province.
"In the future, we want that the production should be processedAnchor in our zone. So the palm oil plantation companies should develop the industries in this province, namely, in SEZ Maloy,” Governor of East Kalimantan, Awang Faroek Ishak said, as InfoSAWITquoted from Klik Penajam, Monday (1/1/2018).
He also hoped, increasing the processed CPO would give additional value for the companies and the people. He thought, the plantation is different from coal for coal or oil and gas is not renewable. It even cannot directly welfare the people.
“Coal and oil and gas are regulated by the profit sharing and the Regulation about Natural Resource management. So if there is a policy through the Regional Regulation of Sustainable Plantation Development, the provincial government would publish the Governor Regulation so that the palm oil companies could develop downstream sector, namely, in SEZ Maloy,” he said.(T2)

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