Although palm oil is the country’s largest earner, the small farmers still receive low wages, arbitrary and bad treatment, and in many cases, especially for hired day laborers, no contracts.
Jakarta–The year-on-year profit of PT Sawit Sumbermas Sarana Tbk (SSMS) rose 33.7%, reaching Rp787.1 billion in 2017. It was mostly driven by the increase in sales by 19%.
Biodiesel is expected to become a locomotive primary fuel and estimated for consumption around 20,000 kiloliters.
Many have been complaining that land legality was the main obstacle in smallholder ISPO certification. Dedi Junaedi, the director for processing and marketing of plantation products at the Agriculture Ministry said that various ways are being considered to ease smallholders certification.
Indonesian palm oil producers are working together with a private airline to develop bioavtur, an alternative fuel for aircraft that uses palm oil.
Despite many having pointed out that the problem of land legality was a major stumbling block to the government’s drive to accelerate the certification of independent palm oil farmers, the requirement on land legality for Indonesian Sustainable Palm Oil (ISPO) Certification is here to stay.
As the world’s largest palm oil producer, Indonesia needs to have clarity in its palm oil politics, regarding its top export commodity that provides the livelihood for millions of Indonesians, according to Political Observer JB Kristiadi.
Accelerating Indonesia’s palm oil sector is urgent amid the relentless pressure from overseas, but many observers warn that the endeavor will face two serious problems which would not be easy to overcome quickly.
One of Indonesia’s largest palm oil producer does not have a problem with a decision by the European Parliament to halt imports of palm oil for its renewable energy program but questioned why it discriminated against palm oil when compared to other vegetable oil.
Without government investment and the support of large companies, a program to certify palm oil plantations managed by smallholders that are currently being pushed by the government will be difficult to achieve.