KONTAN.CO.ID – JAKARTA. Palm oil is the largest contributor to gross domestic product (GDP). No wonder if oil palm becomes the strength and support of the industry.
“From 15 commodities, the largest contribution came from oil palm which reached Rp260 trillion,” said the Director General of Plantation of the Ministry of Agriculture (Kemtan), Bambang in a press release on Monday (11/12).
In 2016, the plantation sector contributed Rp429 trillion to the national Gross Domestic Product (GDP).
The revenue from the plantation sector has exceeded the one from oil and gas sector which is only Rp365 trillion. From 127 plantation commodities, only 15 commodities resulted in foreign exchange gain.
Bambang said that in a condition where it has not yet been well-managed, the plantation can contribute greatly to the state’s revenue. He mentioned that the average national oil palm productivity is about 2 tons per hectare (ha), whereas the company has reached from 8 tons ha up to 10 tons per ha.
Therefore, Bambang invited all elements of the nation to participate in strengthening the national plantation commodities in the eyes of the world. This is because many countries do not want plantations in Indonesia to develop.
“For that, we must be ready to protect Indonesian plantation so it can be free from foreign pressure,” said Bambang.
The Deputy for Food and Agriculture of Coordinating Ministry for Economic Affairs, Musdhalifah Machmud said that plantations serve as a source of prosperity and development trigger in remote areas. “The remote areas begin to rise due to plantations,” Musdalifah said.
The image improvement of oil palm is brought by strengthening and convincing the foreign parties that Indonesia is very committed to the practice of sustainable oil palm cultivation.
This is proven by the certification of Indonesia Sustainability Palm Oil (ISPO), where until today, it has issued 346 ISPO certifications covering a land area of 2.04 million ha with a total CPO production reaching 8.75 million tons.
Source : kontan