PalmOilMagazine, JAKARTA – In a meeting about smallholders’ replanting program (SRP) held in the hall of Indonesian Legislators, Senayan, Jakarta, Chairman of Commission IV Indonesian Legislators, Sudin told, palm oil is one primadona commodity in Indonesia because less than 30 years, Indonesia is now as palm oil producer in the world.
“Palm oil turns not only as the exchange provider for the country, the exports escalate but also as the source of economy for the people from its employment perspective and poverty alleviation in the rural,” he said when leading the meeting by the end of March 2021.
In the meeting attended by General Directorate of Plantation, Ministry of Agriculture, Director of Palm Oil Plantation Fund Management Agency (PFMA), Sudin also told, palm oil is developing. If the plantations were covering 300 thousand hectares in 1980, they now cover about 16,38 million hectares. 6,94 million hectares of the numbers belong to the people’s plantations.
“The main issue for the people’s plantations, are, theirs are not clear and clear both in the legal mastery and the area use. The others are the small productivity because of the old trees, and also diseases,” he recently said, as PalmOilMagazine, quoted from the official page of Indonesian Legislators.
To solve the issues, he continued, the government decided to do SRP by using the fund from Crude palm oil Supporting Fund (CSF) as it is regulated in Laws No. 39 / 2014 about Plantation. The fund is managed by PFMA.
“Unfortunately, SRP which runs for about five years, as a matter of fact, is out of target. The lack of socialization, the legal, smallholders having debts to the banks, unprepared infrastructures of the government’s institutions both in the central and regional caused the outcome of SRP out of target,” he said.
He also mentioned that the evaluation and regulation simplification that the government did, such as, cut off some conditions – from 14 to 8, and put the lower level of evidence of ownership to be the form of documents from the village government, as a matter of fact, could not solve the target in SRP in every year.
“The latest decision from the government is pointing PT Surveyor Indonesia as the only institution to help the smallholders to complete the conditions for those who want to do SRP and development, but it could not escalate the numbers,” he said.
He said that the hearing was about to know every information about fund to SRP and the challenges. “Besides, it is about to get the solution, formulate the strategy to increase and accelerate SRP, and also optimize the fund in PFMA to be in partisanship to the smallholders,” he said. (T2)