Infrastructure Program Escalated Planters’ Competitiveness and Additional Values

Infrastructure Program Escalated Planters’ Competitiveness and Additional Values

Photo by : Melson Saputra / Sawitfest 2021

Pamloilmagazine, JAKARTA – The helps of infrastructure allocated by the fund from Palm Oil Plantation Fund Management Agency (PFMA) consist of eight programs. The goals are to escalate the planters’ competitiveness and additional values.

Dedi Junaedi, the Director of Processing and Marketing of Plantation Products said it in the fourth series – webinar with the theme, “Dampak Positif Program PSR dan Pengembangan SDM Bagi Petani Sawit” which plantation media conducted in Jakarta and supported by PFMA.

The eight programs in palm oil plantation infrastructure helps are, seeds, fertilizers, pesticides (extensification); post-harvest tools and product processing unit; improving the way and water management; transportation; agricultural machines; market infrastructures; technical verification (Indonesian Sustainable Palm Oil/ISPO). “Each activity has different conditions,” he said.

Extensification, for instance, should be adjustable with what President Joko Widodo wanted to develop the border areas as the front page. That is why, the priority is developed in the border areas, such as, in West Kalimantan and East Kalimantan which are next to Malaysia. The intensification is prioritized in the regions which are poor or their palm oil plantations were hit by natural disasters.

Post-harvest tools and product processing units – considering that independent smallholders are lack of development, by delivering the tools and units, they could increase the fresh fruit bunch (FFB) quality. Of 16,8 million hectares of palm oil plantations in Indonesia, 6,7 million hectares belonged to the independent smallholders. Many of theirs are far from the mills. That is why, the unit helps could develop the mills which are near to independent smallholders in palm oil plantation centers.

“We also encouraged that the regions where the mills are too far from the plantations could propose product processing units. There are specific conditions to develop mills because palm oil characteristics is different from others and it would spend much to invest,” Dedi recently said, as in the official statement to Pamloilmagazine.

The smallholders’ plantations where the ways are often broken because of flood and others, could propose to improve the ways. The smallholders where they cultivate in wetland, and often in flood, could also propose to improve the water management.

The transportation, such as, truck and agricultural machines, such as, tractor and excavator, can be proposed (to get) to get more efficient plantation business. The smallholders’ groups or institutions could propose market infrastructure if they have no office, internet access, and others.

By proposing the market infrastructures, the groups would get office and the supporting tools, such as, computer and internet. They would be able to get information about FFB price, and other information.

ISPO verification, based on Regulation of Minister of Agriculture Number 39 / 2020, in 2025, ISPO is obliged for the planters. They could also propose to get ISPO verification if they are in group of economy. Dedi believed, the independent smallholders could get ISPO certification because they have much experience and last year, few independent groups got ISPO certificate though PFMA did not deliver fund.

In 2022 PFMA has put budget up to 600 billion rupiah to infrastructure helps. The numbers consist of extensification that covers 2.000 hectares, intensification that covers 8.000 hectares, post-harvest tools for 20 units, 2 units of product, way improvement and water management that cover 6.000 hectares, 20 transportation tools, market infrastructure for 10 units, ISPO technical verification for 50 packages.

“General Directorate of Plantation signed memorandum of understanding with PFMA to fund the field operational. In the third week of this May, we also would invite 92 heads of agency that deals with plantation both in province and district level to get infrastructure target fulfilled,” Dedi said. (T2)


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