PALMOILMAGAZINE, JAKARTA – The palm oil industry continues to drive Indonesia’s economic growth, contributing over Rp 750 trillion in 2023. Palm oil plays a key role in both upstream and downstream sectors, accounting for approximately 3.5% of the nation’s gross domestic product (GDP). The industry also significantly boosts economic development outside Java.
The Ministry of Industry remains committed to supporting the downstream sector of natural resource-based industries, with a primary focus on ensuring these industries help reduce greenhouse gas (GHG) emissions and achieve net zero emissions (NZE) by 2050.
Putu Juli Ardika, Director General of Agro Industry at the Ministry of Industry, highlighted that palm oil downstream development not only increases the export value of products but also promotes the growth of environmentally sustainable industries. “One tangible example is transforming what many consider waste—such as empty fruit bunches—into high-value products,” Putu stated in an official release quoted by Palmoilmagazine.com on Friday, September 13, 2024.
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He also explained that enzymatic technology would be possible for empty bunches to be bio-chemical products that could substitute the imports, such as, bio-ethanol, organic acid, and other chemical materials. The technology would also help to solve pest issue that usually developed around the empty bunches. By the innovation, the empty bunches that were useless could be the potential sources for the industries.
One innovation of Ministry of Industry is about to develop empty bunch fractionation technology by changing it to be renewable chemical pre-cursor, such as, glucose, xylose, and lignin. The pre-cursor would be significant to produce chemical products in vegetable -base that would support the downstream industries.
To support the technology, Ministry of Industry developed empty bunch fractionation pilot plant within 1 ton biomass capacity per day. It was the collaboration with Institut Teknologi Bandung and PT Rekayasa Industri, funded by Palm Oil Plantation Fund Management Agency (PO PFMA), and officially inaugurated by Minister of Industry in August 2024.
The products from empty bunch fractionation would be glucose, xylose, and would be applied for bioethanol, animal woof, and plastic industries. Meanwhile, the lignin from the process could be applied in paper, bio-composite, and alternative fuel industries.
By the innovation, palm oil industries should transform to be more efficient and environmental. The waste process should be the useful sources to get not only additional values but also to reduce green-house gas emission.
General Directorate of Agro – Industry Ministry of Industry is formulating the roadmap of “Sawit Indonesia Emas 2045,” to create more sustainable palm oil industries until 2024. The roadmap should confirm the sustainability of the industries to face the climate change challenges and optimize economic and environmental advantages for Indonesia. (P2)
