The Reason to Choose Palm Oil Plantation to Run Plasma - Main Program

The Reason to Choose Palm Oil Plantation to Run Plasma - Main Program

Info SAWIT, JAKARTA –It is not a coinsidence that palm oil plantation is actually chosen as the executor to run the plasma – main program. Data and history showed that the plantation business is one mainstay in the colonial era to welfare the people.

The fact also showed, Netherland colonized Indonesia for 35o years and Japan did the same for 3,5 years. During the period, the colonial succeeded to develop its nation as the developed nation.

The Netherland inherited lots of plantation companies in Indonesia. What is interesting is that most of them were in the forms of people’s plantation, such as, rubber, tea, chocolate, and others. They were different from palm oil plantation that the company managed.

Though there were in small numbers, they were in many regions and the cultivation was easier than others. The factory should be constructed and managed well. So it needed good management to be effective and efficient.

In the era before independence day, the plantation companies became the companies that did not separate but they got better within continous consolidation to be the real power for Indonesia to develop the nation. “The consolidation of the plantation companies at the time also got fund help from the World Bank,” Badrun who once became a General Director of Plantation, Ministry of Agriculture in 1993 – 1995 said.

From many international forums, such as, environment conference in 1980s, many countries in the world realized that it was important to have sustainable development, including Indonesia that joined as the active member.

He also thought, the sustainable development is the same with the world agreement about sustainability that has economical, social, and environmental values.

Palm oil commodity chose to run perkebunan inti rakyat (PIR)for the plant has sustainability contents, such as, superior productivity might be 10 times more than soybean, and produce vegetable oil. “Palm oil is the most economical, social, and environmental commodity,” he said in a conversation in his house in Jakarta.

The first PIR development in Presidential Decision, RI No.11 / 1974 about Five Year Development Plan or Rencana Pembangunan Lima Tahun (Repelita)II, regulated the PIR BUN (plantation). Within the help from World Bank in 1980s the Nukleus Estate Smallholder (NES) program involved the government’s plantation company (PT Perkebunan Nusantara-PTPN). “So from the beginning, palm oil development had been planned and prepared well both by the regulation and other technical regulation,” he said.

Badrun also really remembered that in a cabinet meeting in 1983, President Soeharto admired the successful story of PIR Program  and suceeded‘Trilogi Pembangunan’. Then President Soeharto instructed to increase the PIR program within the budget help from the government and involved the private sectors.

But the implementation was realized after the publication of Presidential Instruction No. 1 / 1986 about the Plantation Development in PIR Trans (Transmigration). The Policy was followed up by the publication of Decision of Secretary of Agriculture No.333/Kpts/KB.510/6/1986 about the Procedures of Plantation Development within PIR Trans program. Based on the Presidential Instruction, the work among the instances was running by involving ministries, national banks, private companies and others. “The Presidential Instruction run PIR Program,” Badrun said.

He also mentioned, President Soeharto himself invited the private company to help PIR. The government took the private company to run it faster and equal in every region in Indonesia. (T1)

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