PTPN V Production Guarantee Program in SRP: Ensuring Support and Compensation for Smallholders

Palm OIl Magazine
Doc. Sawit Fest 2021 / Apriliagoverty

PALMOILMAGAZINE, SIAK – In the first harvest of six koperasi unit desa (KUD) – the plasma of PT Perkebunan Nusantara V in District of Siak, Riau Province, Chief Executive Officer PTPN V, Jatmiko Santosa said that the innovation of PTPN V is about to maintain the plasma smallholders’ income when smallholders replanting program (SRP) runs, for instance, by having labor intensive.

This is about to maintain their income when waiting for their first harvest, conduct micro, small, medium business (MSMB) program, such as, breeding cows through environmental program responsibly. These are about to maintain their economy.

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“It happens to knowledge transfer to escalate smallholders’ understanding in cultivation practices,” Jatmiko said, as in the official statement to Palmoilmagazine.com recently.

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He also told PTPN V is the first company that bravely guarantees production for smallholders. “PTPN V is the first company that is brave to deliver production guarantee for the smallholders that join SRP. We would deliver compensate if their plantation production is not standards,” he said.

Jatmiko continued PTPN V has the widest plasma plantations in Riau province that laid about 56.000 hectares or equal to 66 percent from the main plantations of the company.

In District of Siak, Jatmiko continued, the company took thousands of plasma smallholders with the total plantations about 15.000 hectares. In District of Kampar, the company has plasma with the total plantations about 19.732 hectares.

Until now, he continued, SRP that PTPN V has been running since 2012 laid about 8.618 hectares. The target would be 22.444 hectares by 2026.

Chairman of KUD Tunas Muda, Setiyono said SRP that PTPN has run should be standard and in high quality work. As the result, SRP to harvest ran fast and the production also increased.

“In November 2020 we got SRP and in the early of 2023 we harvested ours. It is very fast. Since in the beginning, we knew that PTPN seriously would do SRP. Our plantations grow well and Insya Allah the productivity would not let us down. This is our saving for the next 25 years and it is satisfied. We thank PTPN V,” Setiyono said. (T2)

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