The Government of Riau Should Care about FFB Price for the Independent Smallholders

The Government of Riau Should Care about FFB Price for the Independent Smallholders

InfoSAWIT, PEKANBARU –To do its function and duty as an institution of the smallholders in Indonesia, namely to advocate the fresh fruit bunch (FFB) price in the smallholders’ level, DPW Asosiasi Petani Kelapa Sawit Indonesia (Apkasindo) Riau officially handovered Document of Recommendation of the result in Focus Grup Discusion (FGD) to arrange the draft of Regulation of Riau Governor about the FFB Price Decision in Riau Province in 2018.

It was given by the Chairman of Committee, H. Suher and the Secretary, Dalkaren Rusli to the Head of Food Plantation, Horticulture, and Plantation, Riau Province, Ferry HC. Vice General Secretary of DPP Apkasindo, Rino Afrino also witnessed it too.

The recommendation derived from the material of the speakers, the proposals of the participants, and the result of discussion from 4 groups in FGD. The discussion was fierce.

The formulator consisted of the coordinators in Apkasindo Riau, the academy fromUniversitas Riau, Universitas Islam Riau, the representative of the plasma, independent smallholders, and the facilitators of the discussion groups.

Chairman of Apkasindo Riau, Gulat ME Manurung, M.P.,said, the smallholders’ palm oil management and administration in Riau should be a concern for many sides knowing that the independent smallholders have more than 1 million hectare plantation areas. The numbers defeat the plasma’s for having about 200 thousand hectares only.

From the numbers, the independent smallholders should be protected in the FFB price lists within Single FFB Price Concept or Konsep Satu Harga TBS. It means, there should be no different FFB price for the independent and plasma (in partnership with the companies or in PIR scheme) smallholders. The FFB price issue is clearly regulated by the government through Regulation of Minister of Agriculture No. 1 / 2018 about the Guidance of Fresh Fruit Bunch Price produced by Planters.

For example, the CPO is Rp6700/kg. The smallholders’ FFB should be Rp1300– Rp 1500 per kg. But what happens is that the smallholders’ FFB is cheaper that what has been officially regulated.

In the FGD, many things were revealed and written in the recommendation. Gulat Manurung emphasized, palm oil shell was proposed as the component to decide FFB price in the recommendation.

“We hope that the recommendation could make the Regulation of Riau Governor faster to be published about Single FFB Price Concept for the smallholders as the next regulation of Minister of Agriculture No. 1 / 2018 and the smallholders in Riau could be better within the normal and fair price,” Gulat ME Manurung, M.P.,said to InfoSAWIT, Thursday (16/8/2018). (T2)


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