Deforestation and forest degradation in Indonesia is not just a problem internal to the country, but has become a global concern. Therefore, proactively ending deforestation and forest degradation in Indonesia is a shared responsibility for the future of the planet.
All actors in the palm oil supply chain must respect the existing conditions and recognize the challenges and impacts. This is a synergistic step in taking further action. We must understand that deforestation and forest degradation in Indonesia are the result of a complex set of structural, economic and social historical factors. These include government policies to produce palm oil, as well as the lives of independent smallholders around established supply chains.
Many farmers and communities involved in the palm oil industry supply chain do not have adequate livelihood alternatives. Therefore, creating solutions that respect existing conditions and provide viable alternatives for farmers is key to successful sustainable governance. An important step is to create consensus for sustainable development. All parties, including government, industry and communities, need to recognize their role in addressing the deforestation and forest degradation that has occurred. Only through this mutual recognition can we work together to find equitable and sustainable solutions.
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The following eight aspects are important lessons that can be drawn from the experiences of independent smallholders to improve sustainable natural resource governance to protect forests, biodiversity and the natural environment as a whole:
- Land Inventory and Identification: Land inventory and identification is an important first step in addressing deforestation and forest degradation in Indonesia. Accurate data on the location of oil palm plantations at the village level, whether privately owned, farmer cooperatives, or individual independent smallholders, is essential for making effective decisions.
- Open Fair Access for Independent Smallholders: By providing legitimate access and legality to Areal Penggunaan Lain (APL) and social forestry schemes in accordance with legislation, the government can create a fair and sustainable legal framework. This can strengthen farmers’ trust, encourage cooperation, and reduce illegal practices that damage forests.
- Support for Sustainable Practices: Providing technical and financial support to smallholders to implement sustainable agricultural practices is an important step in reducing the palm oil industry’s impact on the environment. Training, selection of improved crop varieties, wise water management, and better environmental practices can help protect forests and increase farmers’ productivity in the long run.
- Creating Livelihood Alternatives: Exploring alternative livelihoods for communities dependent on oil palm plantations is key to long-term solutions. Livelihood diversification, such as agriculture and other sustainable plantation commodities, tourism, or other agro-processing, can help reduce dependence on oil palm.
- Encourage Better Practices: Encouraging farmers to implement Better Management Practices (BMPs) is an important step in reducing the palm oil industry’s impact on the environment. These practices include judicious use of pesticides, proper waste management, and more efficient use of fertilizers. By promoting better practices, farmers can reduce the risk of environmental damage.
- Active Government and Private Engagement: The government’s role in overseeing and regulating the palm oil industry is crucial. In this regard, the private sector also has an Environmental Social Responsibility to adopt sustainable practices in their supply chain.
- Improved Community Understanding: Improving public understanding of the importance of forest conservation and sustainable practices is a crucial step. Public education and awareness can help change behavior and culture around the palm oil industry.
- International Cooperation: Deforestation and forest degradation are global issues. Cooperation with the international community, including countries that import palm oil products, can help increase pressure on environmentally damaging practices. Through international cooperation, we can share knowledge, resources and support to safeguard tropical forests around the world.
The EU’s dependence on palm oil can be used by Indonesian politics to reorganize the national palm oil industry, although external regulations such as the EUDR cannot affect overall market access and economic stability. Indonesia needs to demonstrate its commitment to sustainability as part of the global community.
The national palm oil industry and downstream efforts are an urgent way of transitioning from being excluded from the EU market to being more independent in regulating its own palm oil industry. This will expand domestic market opportunities, maintain the income of independent smallholders, and allow Indonesia to focus on efficient production, distribution, and marketing of palm oil derivatives. Thus, while staying in touch with the global market, Indonesia can strengthen its political sovereignty and economic independence in managing its natural resources.
By: Jamaluddin, Chairman of Belayan Sejahtera Plantation Cooperative, East Kalimantan
