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PEOPLE’S PALM OIL REPLANTING PROGRAM NEEDS FINANCING SCHEME

30 April 2017 , 06:58 WIB | Read : 232 | By : Ignatius Ery Kurniawan

since the credit to develop vegetable energy and plantation revitalization or ‘kredit pengembangan energy nabati dan revitalisasi perkebunan (KPEN-RP) was stopped by the end of 2014, the palm oil financing for the people has been stucked. it was once proposed to use ‘kredit usaha rakyat (kur)’ but it was hopeless. 

The palm oil plantation replanting program for the people or famously called as the independent smallholders does not run well. The financing scheme which is pro to the people has no agreement yet.

The palm oil plantation which the independent smallholders cultivate needs replanting program. Besides the right moment for the old age, it is done to increase their productivity, which is said to be small still.

Based on the data from General Directorate of Plantation, Ministry of Agriculture, until now, the palm oil plantations which the smallholders cultivate reach 4,65 million hectares or about 40% of the total palm oil plantations nationally which reach 11,91 million hectares.

Unfortunately of the total palm oil plantations of the smallholders, the average productivity is small enough. General Directorate of Plantation noted, the smallholders’ palm oil production nationally reach about 10,86 million tons of fresh fruit bunch (FFB), within the average productivity reaching 3,22 tons of CPO per hectare per year. It might be about Rp 77,24 billion.

General Director of Plantation, Ministry of Agriculture, Bambang said, the smallholders’ average palm oil productivity is still small for it could be reaching about 28,35 million tons of FFB within the productivity reaching 8,4 tons of CPO per hectare and would be about Rp 201,60 billion.

From the realization of the production and the potency, Bambang continued, there are lots of potency to loss. It is estimated, the loss of potency reaches about 17,49 million tons of FFB within about Rp 124,34 billion. “The smallholders’ productivity is small enough for it may be reaching 10 tons of CPO per hectare,” he said.

It needs particular ways to increase the smallholders’ palm oil plantation productivity. One thing to do is by the replanting program for the more than 25 year old – trees.

It is predicted, there are massive areas of the smallholders to have the replanting program. It may reach hundreds of hectares in every single year. Unfortunately the program does not run well yet.

The facts showed, the replanting program needs lots of money. Based on the government’s calculation, it would spend Rp 60 million per hectare.

Of course, the number . . .

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