Latest News: Page 53

2017 KPBN Will be Focusing on Tea Export Sales

04

Jan

2017 KPBN Will be Focusing on Tea Export Sales

Iriana Ekasari, Director of KPBN, admitted that since 2008 the competitiveness of Indonesian tea has declined compared to Russia, England, the United [...]

2017 KPBN Will be Focusing on Tea Export Sales. Iriana Ekasari, Director of KPBN, admitted that since 2008 the competitiveness of Indonesian tea has declined compared to Russia, England, the United States and other countries. In 2008, tea exports still accounted for 70% of all tea products in PTPN traded through KPBN. However, in only 8 years, exports had dropped to only a third of that amount. This decline was caused by the weakening of Indonesia’s market control over tea prices in the global market. Then, there was a decrease in tea auction activities abroad and a decline in the quality of Indonesian tea. In the domestic market, the price of tea sold by KPBN was priced at Rp18,944/kg, whereas in the export market, Indonesian tea was priced at Rp23,155/kg, 22.5% higher than the local price. “The Indonesian market is filled with grade 2 tea, because the Indonesian market is not yet able to value the price of grade 1 tea. As for grade 1 tea, we export it because overseas markets are willing to value the price of grade 1 tea,” said Iriana. That is why this year KPBN will focus on exploring export markets. Last year, 27% of the tea traded by KPBN was exported to Malaysia. However, Iriana confirmed that this year she will focus on export destinations where Indonesian tea exports were once glorious, such as Russia, Pakistan, America, Germany, England, and Poland. Today, KPBN held the first tea auction in 2017. Currently, the tea being auctioned by KPBN is tea that is produced from PTPN, namely the CTC and Orthodox. A total of 24 foreign companies are taking part in today’s tea auction. The tea auction will be held once a week, every Wednesday. In the future, KPBN will cooperate with other plantation producers to sell their tea through KPBN. By Maria Hudaibyah Azzahra Editor: Eva Martha Rahayu http://swa.co.id/swa/trends/marketing/tahun-2017-kpbn-akan-fokus-penjualan-teh-ekspor

'Holding' of Plantation Tea Auctioned off Again

04

Jan

'Holding' of Plantation Tea Auctioned off Again

24 foreign and local tea buyer companies participated in the tea auction with a total of 367,100 kilograms (kg) of tea. The auction was held around [...]

'Holding' of Plantation Tea Auctioned off Again. 24 foreign and local tea buyer companies participated in the tea auction with a total of 367,100 kilograms (kg) of tea. The auction was held around 09.30 WIB at KPB Nusantara's head office.
Based on Kompas.com's observation, the auction was attended by KPB Nusantara President Director Iriana Ekasari, PTPN III President Director Elia Massa Manik, PT PN VIII Chief Commissioner Karen Tambayong, Jakarta Tea Buyers Association Chairman Farid Akbany, representatives from the Ministry of Trade and the Ministry of State-Owned Enterprises, and 24 representatives from foreign and local tea buyer companies.
KPB President Director, Iriana Ekasari, said that the company targeted PTPN tea commodities traded at KPB would grow minimally 25 percent this year, with an increase in sales volume of approximately 9,000 tons.
`All improvement efforts will be in vain if our business partners are not ready to develop. The growth strategy must be integrated, between producers,` said Iriana at the KPB Building in Jakarta, Wednesday (4/1/2017).
The 24 tea companies that participated in the auction included, Indoglobal, Van Rees, Chakra, Indonesia Tea Traders, Pucuk Mas, Pacific, Intraco, Kinami, Finlay, Agri Jaya, Tri Galuh, Cassa, Anugrah, Yoosuf Akbani, Suruchi, Unilever, Prima, Sasana CM, Trijasa, St. Clar, Jakarta Tea, Padakersa, and Sari Inco‎.
Based on United Nations Food and Agriculture Organization (FAO) data from 2015, Indonesia's tea production reached 130,000 metric tons. Tea exports reached 62,700 metric tons. Java Barat contributes to 70 percent of national tea production.
Author : Iwan SupriyatnaEditor : Aprillia Ika
http://bisniskeuangan.kompas.com/read/2017/01/04/124000026/lelang.teh.milik.holding.perkebunan.kembali.digelar

Paser farmers wait for palm oil rejuvenation program

04

Jan

Paser farmers wait for palm oil rejuvenation program

Head of Paser Regional Planning Board (Bappeda) I Gusti Putu Suantara, stated in Tanah Grogot, Tuesday that a palm oil replanting program is under [...]

Paser farmers wait for palm oil rejuvenation program. Head of Paser Regional Planning Board (Bappeda) I Gusti Putu Suantara, stated in Tanah Grogot, Tuesday that a palm oil replanting program is under the authority of the Ministry of Agriculture, thus it cannot be implemented in that area. `The fund for palm oil replanting is Rp25 million per hectare, however it cannot be implemented yet because it is under the Ministry of Agriculture,` said Putu Suantara. Paser Bappeda, according to Putu Suantara, will strive for the implementation of the palm oil replanting program in that area. `Bappeda will explore the palm oil replanting program so that it can be implemented in Paser Regency. The program will not use the Local Government Budget (APBD) but the State Budget (APBN),` Putu Suantara said. Simultaneously with the palm oil replanting program, Putu Suantara continued, the Paser Regency Government will also plant other types of plants on the same land. `If the palm oil replanting program is implemented, a corn planting program will be carried out at this location, because there is a three-year waiting period for the farmers before the palm trees can fully grow,` said Putu Suantara. While waiting for the palm oil replanting for three years, he added, the corn planting program can be harvested within three months. `While waiting for the palm oil to grow for three years, we will promote the corn program that only requires three months to harvest. The program is quite good, especially since the location is around 17 thousand hectares, the same as the area of palm that needs replanting,` explained Putu Suantara. The Paser Regency Government, continued Putu Suantara, has previously coordinated with the Ministry of Agriculture and has received a positive response.`The Regency Government has coordinated with the Ministry of Agriculture regarding corn planting and has received a positive response and greatly supports the program,` said Putu Suantara.
Editor: Tasrief Tarmizi
http://www.antaranews.com/berita/604742/petani-paser-tunggu-program-peremajaan-sawit

Mukomuko Farmer’s Rubber Price Remains High

03

Jan

Mukomuko Farmer’s Rubber Price Remains High

"The price of raw rubber is also still high, at Rp7,000 per kg," said Head of the Plantation Cultivation Section of the Mukomuko Regency Agriculture, [...]

Mukomuko Farmer’s Rubber Price Remains High. `The price of raw rubber is also still high, at Rp7,000 per kg,` said Head of the Plantation Cultivation Section of the Mukomuko Regency Agriculture, Livestock, Plantation and Forestry Office (DP3K), Sudianto in Mukomuko, Monday.He said that the price of clean rubber at the local farmer level has increased over the past two weeks from Rp7,000 to Rp9,000 per kg and the price of raw rubber has increased from Rp6,500 to Rp7,000 per kg.Sudianto hopes that the rubber price can hold for the next few months because the increase in rubber prices has had an impact on improving the welfare of local farmers. According to him, the price of clean rubber can be used for operational costs and maintenance of rubber plants.If the price is that high, he said, besides the operational costs and maintenance of rubber plants, it will also be able to cover the cost of feeding families and the cost of children's education. In addition, he said local farmers can set aside for the maintenance of rubber plants such as buying fertilizer.He advised farmers to tap their own rubber so that the profit gained is greater than paying laborers to tap the rubber. `Farmers must tap their own rubber so that the profit they get is maximized,` he said.
Editor: Ruslan Burhani
http://www.antaranews.com/berita/604588/harga-getah-karet-petani-mukomuko-bertahan-tinggi

A Month Has Been Planted, PT. KPBN's Trees Grow Thicker

28

Dec

A Month Has Been Planted, PT. KPBN's Trees Grow Thicker

From the 10 planted trees, there are two types of rare species. Bodhi Tree (Ficus Religiosa) was planted by the General Manager, whereas the Dammar [...]

A Month Has Been Planted, PT. KPBN's Trees Grow Thicker. From the 10 planted trees, there are two types of rare species. Bodhi Tree (Ficus Religiosa) was planted by the General Manager, whereas the Dammar pine (Agathis Dammara) was planted by the Operational Director, the Financial Director, the HR and General Director, and several Managers. All planted trees are seen to be well maintained and growing greener.
`There is only one Bodhi Tree in Ragunan that is cultivated in Primate Center Schmutzer (PPS). With the donation from PT KPBN, the Bodhi tree collection is now up to 2,` said H. Maskana, Head of the Ragunan Wildlife Park Landscaping Section.
`Even for the Dammar pine species, there is no collection at all, whereas the Bodhi tree has only 1 collection in PPS,` he added.
On Sunday, November 20th, 2016, PT. KPBN carried out a donation of 70 trees and planted 10 trees in the Ragunan Wildlife Park, Jakarta, as part of a series of activities to celebrate the company's 7th anniversary with the theme “Environmental Care for a Better Tomorrow`.
This activity embodies the implementation of one of the five company values: Empathy.
`We are very grateful to TMR for accepting us in this environmental care action,` said Iriana Ekasari, CEO of PT KPBN. `Hopefully this will be useful for preserving TMR's flora,` she added.

Energy Outlook 2017: Do We Need to Learn from the Interpretation of Prophet Joseph's Dream Again?

28

Dec

Energy Outlook 2017: Do We Need to Learn from the Interpretation of Prophet Joseph's Dream Again?

The interpretation suggests the need to save and manage harvest or production while there is a surplus, to anticipate future needs, which may not be [...]

Energy Outlook 2017: Do We Need to Learn from the Interpretation of Prophet Joseph's Dream Again?. The interpretation suggests the need to save and manage harvest or production while there is a surplus, to anticipate future needs, which may not be good again. Without it, crisis is inevitable. Nevertheless, facts often forget the story that has been passed down for thousands of years. For years, `lullabied` by the story of a country rich in natural resources—including oil and gas—Indonesia is now threatened by an energy crisis. (Also read: Myth or Fact, Indonesia Rich in Oil and Gas?) Facts find that the ratio between the discovery of new proven reserves and the ones already in production (replacement reserve ratio or RRR) of Indonesian oil and gas continues to drop from the standard 100 percent. Data from the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) as of 23 December 2016, mentions that the average Indonesian oil and gas RRR is only 35.8 percent. To be exact, the RRR for oil is 47.99 percent, while for gas is 27.24 percent. If this condition continues, it is not impossible that Indonesia will truly `run out` of domestic oil and gas reserves. Moreover, most of Indonesia's oil and gas supply still relies on old wells. Right now, Indonesia has been a net oil importer since 2004, and is likely to become a net gas importer in the near future, if no new proven oil and gas reserves are discovered soon. (Also check out: VIP `Debunking the Myth of Indonesia being Oil and Gas Rich`) Then, what are the challenges of the national upstream oil and gas industry in 2017? `To be able to increase (oil and gas) production, we need support from reliable technology,` Deputy Energy and Mineral Resources Minister Arcandra Tahar said on Monday (19/12/2016), as quoted by Antara. The need for this technology has been getting urgent, ever since the effort to find new oil and gas reserves. According to the Head of Public Relations of SKK Migas, Taslim Z. Yunus, the exploration trend will increasingly point towards the eastern region of Indonesia, and will be located in deep sea. `We need increasingly higher technology and higher costs, therefore, because of it,` Taslim said, in mid-June 2016, and repeated on several separate occasions. This is where, he continued, the role of investors in the oil and gas investment scheme currently in effect in Indonesia comes to play. The Energy and Mineral Resources Minister Ignasius Jonan said that at the moment, oil and gas production within the country is assumed to not be efficient. `Therefore, the first oil and gas policy going forward is about production efficiency,` Jonan said, as quoted by Antara. Aside from issues with guaranteeing supply, production efficiency is also related to the competitiveness of the national upstream oil and gas industry globally. Referring to a survey held by the Fraser Institute in 2015, Indonesia's competitiveness in this industry ranks 113 out of 126 countries. Global vs Real Trends World oil prices are slowly rising, after the organization of oil producing and exporting countries (OPEC) reached an agreement to cut production quotas on Wednesday (28/9/2016). Bloomberg mentions that the price of `black gold` has gone up around 17 percent until the second week of December 2016. Although, the price increase is still far below the level it was in June 2014, which was still well above US$ 100 per barrel. The closest projection is that the oil price could go up to around US$ 65 per barrel—and even that could happen at the earliest in May 2017—if all OPEC members follow the quota agreement. In 2017, global investment in the world's upstream oil and gas sector is estimated to grow by 3 percent compared to 2016, reaching around US$ 450 billion. `However, even that is still 40 percent below the investment in 2014,` said Andrew Harwood, Asia Pacific Research Director for Wood Mackenzie in this industry, as quoted by The Jakarta Post on Wednesday (14/12/2016). In addition to that, Indonesia has other challenges, namely `guarantees` of an investment-friendly bureaucracy. `By any way, investors are looking for legal certainty and policies that stimulate investment. I think, Indonesia is lacking in these areas,` Harwood said. If these factors are addressed, Indonesia's potential to attract investors—as an answer to the need for costs and high technology—in the upstream oil and gas sector ought to expand. Several policies have already been issued by the government for this. (Also check out: VIP `Cost Recovery, Indonesia's Oil and Gas Dilemma`) Again, facts tell a different story. Data from SKK Migas as of the end of November 2016 found that investment in the upstream oil and gas sector is recorded at US$ 10.43 billion. However, most of that investment is still for continued production in work areas which are already in production.  `The nonexistence of new discoveries is reasonable in the midst of low oil prices,` said the Executive Director of the ReforMiner Institute, Komaidi Notonegoro, as quoted in the daily newspaper Kompas, on Saturday (24/12/2016). In a situation where the price of oil is still below US$ 60 per barrel, he continued, oil and gas companies tend to do more well maintenance activities (well service) and work overs on existing production wells, rather than increasing exploration. Of course, investment will become even more unattractive if the price is still low, the risk of exploration failure is also high, in addition to the challenges of bureaucracy. Harwood does not deny that bureaucratic reforms have occurred, but not as fast as expected. Agreeing with Harwood, the Chair of the Special Committee for Institution Relations and Regulations in the Energy and Oil and Gas Feild of the Indonesian Chamber of Commerce and Industry (Kadin), Firlie Ganinduto, said that investment in this sector will continue to be bleak without any certainty of law and policy. `Basically, all of them (investors) want to invest in long-term plans, at least for around 10 to 20 years. But it's difficult to convince them if we change the regulations every time there's a new president or even a new minister,` Firlie said, as quoted in The Jakarta Post. A Glimmer of Hope In the midst of all the projections above, a glimmer of hope comes from data on Indonesian oil and gas production ready for sale (lifting). As of 30 November 2016, average oil lifting reached 821,800 barrels per day, while gas is recorded at 6,643 MSCFD. Both of those numbers surpass the target set in the Revised State Budget (APBN-P) 2016, which is 820,000 barrels per day for oil and 6,438 MSCFD for gas. The good news for oil lifting primarily comes from contributions from the production results of the Cepu Block managed by ExxonMobil Cepu Ltd. `Train B in the Banyu Urip Project has begun producing at full capacity of 185,000 barrels per day since January 2016,` Taslim said. Other big contributors to that achievement are the Rokan Block by Chevron, the Mahakam Block managed by Total, and the Offshore Northwest Java Block by Pertamina Hulu Energi. At the moment, referring to data from SKK Migas, there are 67 oil and gas work areas in Indonesia that are in production. `Most of them are old fields with natural production decline,` Taslim said. Despite this, several efforts continue to be made in those fields, to reduce the pace of production decline. These efforts include 212 exploration well drilling, 1,055 work overs, and 33,925 well treatments. `If it is for a significant increase in reserves, the only way is to explore and develop new reserve sources,` Taslim said. As quoted in the Kompas newspaper edition of Saturday (24/12/2016), this year there was also a discovery of new oil and gas reserves in the Sidayu Field, Pangkah Block, operated by Saka Indonesia Pangkah Ltd. That field has oil and gas reserves of 300 million barrels of oil equivalent, and is a big discovery after the Banyu Urip Field, Cepu Block. Its location is offshore in the Java Sea, to be exact in the north of Gresik Regency, East Java. `If there is an application for a field development plan next year, at the earliest the field could begin oil extraction in 2019,` Taslim said. Throughout 2016, SKK Migas has approved of 28 development plans which are expected to add oil reserves of 142.45 million barrels and gas reserves of 0.645 TSCF. All of those plans require investment funds of US$ 2.94 billion and a target of state receipt of US$ 6.85 billion. Referring to a scheme which was once published by the National Energy Board, oil and gas will continue to be Indonesia's main energy source up to 2050. The question is, without any discovery of new proven oil and gas reserves—with support from investors in a scheme with tight supervision—what about fulfilling energy needs within the country? (Also read: If the Prophet Joseph were Alive during the Oil Era, How would he Interpret his Dreams?) Should

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