InfoSAWIT, JAKARTA – In palm oil industry, the independent smallholders should get the serious attention. Being the first in the chain supply, they are the most susceptible ones. In Indonesia in general, they (the plasma and independent) at least, master 42% of the total palm oil plantations in Indonesia or about 4,5 million hectares (ha). Of the numbers, about 79% are mastered and cultivated the independent ones within about 3,4 million ha.
They are different from the plasma. The plasma smallholders’ plantations are integrated and cultivated by the big companies. The independent onnes have no partnership with the factories. This urged them to choose the side party, in this case as the connector, to sell their fresh fruit bunch (FFB) from their plantations. As the impact, they have no better price because the third side is as the connector within long process.
Besides the price, the information access, the supports from other party are the serious issues for the independent smallholders. It is not questioned if the independent smallholders are the worst sides in the palm oil chain supply. The cheap price is the accumulation of the bare knowledge and the supports both from the factories and the local government.
The certification may not be the only answer from the issues but sustainable certification could be one alternative to open the access for them, namely about the partnership to process the FFB sustainably. Besides the market access, the chance of support to increase the capacity from the factories and other sides, such as, the government widely opens.
By August 2019, about 10 smallholders groups in Indonesia got Indonesian Sustainable Palm Oil (ISPO) certificates within about 6.236 ha. 6 groups of them were independent ones and about 24 independent smallholders groups got Roundtable on Sustainable Palm Oil (RSPO) certificate within about 12.500 ha (Forum Petani Kelapa Sawit Berkelanjutan Indonesia/ Fortasbi). But if compared to the total plantation width, the numbers are small enough. So it is important to accelerate the sustainable standard implementation in Indonesia within the ISPO and RSPO schemes by making integration and collaboration among them.
In the official statement to InfoSAWIT, Fortasbi is the smallholders’ forum which has about 30 members of smallholders’ organizations from many provinces in Indonesia
Every member of Fortasbi is the independent smallholder who gets ISPO, RSPO, and ISCC certificates. They did workshop about “Bagaimana membangun integrasi dan kolaborasi untuk mendukung petani swadaya mengimplementasikan standar minyak sawit berkelanjutan ISPO dan RSPO di Indonesia” on Monday (23/9/2019) to accelerate the sustainable development achievement in Indonesia.
To develop the integration and collaboration, Fortasbi would meet again to discuss the potential collaboration and integration of certification and plan to realize the two.
According to Fortasbi, this would be the place to share knowledge among the members about the challenge and opportunity of the sustainable standards in ISPO and RSPO and develop the collaboration to accelerate the implementation of sustainable palm oil in ISPO scheme. (T2)