InfoSAWIT, JAKARTA - In 2024 it is predictable that the biodiesel needs 100% would be added 10% to be 15,07 million kiloliters. It means that there would be 17,3 million tons of CPO to provide. If it uses the same assumption like the previous, the net profit paid to the companies could be Rp 166,116 billion. The numbers would have something useful to improve our economy.
Is it right that the exchanges have been saved? It is absolutely right if seen from the import sector by decreasing the numbers. But if it is seen from the plantation sector, the chance to export would be no more. It means that the exchange safe does not happen nationally.
But the main function is to help to absorb CPO nationally and realization of price stability. The CPO export allocation to European Union has been covered by the domestic purchase for biodiesel. As the impact, the foreign countries would be difficult to dictate Indonesia in this case. The CPO has become the strategic commodity to rely on. But it is still dominated by the foreign companies.
Plantation companies depend on the production numbers. That is why the productivity is the successful key for the companies. The Production Force Management method that consists of root and canopy management may increase the productivity between 30 - 100 % within relatively same costs.
It means, the profit that the smallholders and the companies may get would be more. If every rupiah got is in the domestic, of course, this would welfare the nation. In the reverse, if numbers of cash from the plantation are transferred to other countries, only the foreigners would enjoy it.
The writer hoped that ministry of defense could be the coordinator in the strategic program such this. The strategic commodity could be the ‘weapon’ to have negotiation and politic situation in the other countries. Palm oil issues are not about the common trade because it has something to do with millions of people involved in the renewable industries and millions of hectares planted, and also the multi-plier effects and the dignity of this nation. (Written by Dr. Memet Hakim/ Faculty of Agriculture, Universitas Padjadjaran and Chairman of Aliansi Profesional Indonesia Bangkit)
This article once published in InfoSAWIT, July 2020