21 Apr 2016
"The government is committed to continuing the rejuvenation of oil palm trees that are indeed old. For this purpose, a fund has been prepared," said Director of the Indonesian Palm Oil Fund Management Agency (BPDP) Palm Oil Bayu Krisnamurthi to reporters in Siak, Riau, Wednesday.
This was said after the handover of funds for the rejuvenation of oil palm plantations owned by 135 farmers belonging to the Mulus Rahayu Farmers Association (KUD) assisted by Asian Agri.
Bayu said, rejuvenating oil palm trees that are 25 years old is very important considering that palm oil has been able to provide prosperity for farmers and the people, in addition to providing very large non-oil and gas foreign exchange.
According to him, the old age of oil palm trees has resulted in low productivity so that they must be replaced as soon as possible if we do not want welfare to decline and lose foreign exchange from the plantation sector.
"Oil palm is a leading sector that generates the largest foreign exchange for the national economy. However, trees that are over 25 years old need to be rejuvenated to ensure productivity in accordance with industrial needs, the sustainability of the palm oil industry and to improve the welfare of farmers and the community," said Bayu.
It was said, during 2016 there were seven projects in 4,200 hectares of oil palm plantations ready for rejuvenation, most of which are located in South Sumatra and Riau. .
To rejuvenate oil palm trees, he said, BPDP is working with local governments, private parties, NGOs, banks and universities which also help manage sustainable oil palm plantations.
Asian Agri Managing Director Kelvin Tio said the company and plasma farmers will continue to implement the oil palm rejuvenation program.
He said, the partnership between companies, government, and communities has become a good model for the palm oil industry, considering that they have the same goal, namely to improve the welfare of farmers.
Editor: Unggul Tri Ratomo
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