Palm Oil is The Mainstay of Natural Resource in East Kalimantan

Palm Oil is The Mainstay of Natural Resource in East Kalimantan

InfoSAWIT, JAKARTA - To run the economic strategies in renewable natural resources, palm oil plantation is the important and main commodity that could be the material to develop the derivative industries, such as, olo-chemical, and biodiesel that have the important roles.

It has strategic values to develop the people’s economy, renewable energy, and decrease the green-house gas emission.

In 2010, data from the province revealed that when the mining sectors and oil and gas industries reached 74,53%, the agricultural sectors, in the wider understandings, contributed about 5,52% PDRB of the province and the sub-sector of plantation did 36,78%.

In 2015 though the mining and oil and gas sectors still dominated about 65,63%, the agricultural sectors in the wider perspective increased to PDRB reaching 7,62% and the sub-sector of plantation did 59,89% or about 2,2% to PDRB of East Kalimantan.

The role and contribution from the plantation sectors got more in the economy of the province. They could provide employment to 392.000 families as the farmers (smallholders) and it was proved that there were centers of economy and developed other regions.

Palm oil plantation development in the province is also supported by the agro-climate and the available areas. Based on the Regional Government No 1 / 2016 about Provincial Spatial Plans, the allocation of plantation reached 3.269.561hectares or equal to 25% of the width of the province. (T1)

For more, please read InfoSAWIT, September 2019


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