Independent Palm Farmers Encouraged to Form Groups and Partnerships

“This partnership should be written in a partnership agreement as a written document and witnessed by the relevant Guidance Agency,” said Head of Domestic Marketing Division, Directorate General of Plantation, Elvy, at the Cooperatives of Palm Oil Farmers Meeting for Sustainable Palm Oil Development at Hotel Novotel Bangka, late July 2019 which was facilitated by the Management of Palm Oil Plantation Fund (BPDPKS).

In the seminar, it was revealed that Local Government of Bangka Belitung Province had followed up the mandate of Ministerial Regulation No. 01 of 2018 through the Governor Regulation No. 14 of 2019. The dissemination of the Governor Regulation has been carried out and well received by both oil palm farmers and mills. Local Government of Bangka Belitung Province provides 1 (one) year opportunity since the Governor Regulation is issued where FFB to be processed by the mills should be delivered through the farmer institution, including the farmer cooperatives. To accelerate the establishment of this independent institution this program was also associated with PSR program data collection and facilities provision.

Assistant Deputy for Agriculture and Plantation, Ministry of Cooperatives and SMEs, Dewi, said, it is necessary to establish a good system in the business process between plasma cooperatives and companies as their core, or for independent cooperatives (not having partnership yet), they should also be encouraged to partner with the core company so that the cooperatives will not sell their FFB to the buyers or the DO owners, thus farmers can get reasonable FFB price. This partnership is also important due to the impact on the quality of rejuvenation activities carried out by the cooperatives.

At the end of the Partner’s Meeting, the Indonesian Competition Supervisory Commission (KPPU) said that the regulation that underlies KPPU in the supervision of Partnership is Law Number 20 of 2008. Should there be any potential violation in the business competition, it can submit a proposal to the Head of KPPU cq KPPU regional office by providing a detailed written chronology and attaching the identity. When having a partnership, make a good partnership by implementing the principles of partnership. (T2)

Source: Infosawit.com