JAKARTA \u2014 President Prabowo Subianto\u2019s administration is giving full\nsupport to oil palm farmers to strengthen their capabilities in both\nupstream and downstream sectors through co-operatives. The Indonesian\nOil Palm Farmers Association (Apkasindo) has been asked to play a more\nactive role in encouraging farmers to enter the palm oil processing\nsector.<\/p>\n
The message was delivered at the opening of the Third National\nMeeting of Indonesian Oil Palm Farmers (PENAS III), organised by\nApkasindo at the Menara Peninsula Hotel in Jakarta on Wednesday (28\nOctober 2026). The event brought together various stakeholders to\ndiscuss the future direction of the national palm oil industry.<\/p>\n
The event, which marked Apkasindo\u2019s 26th anniversary, was supported\nby the Plantation Fund Management Agency (BPDP) and attended by\nApkasindo officials from 25 provinces. Attendees included National\nDevelopment Planning Minister and Bappenas chief Prof.\u00a0Rachmat Pambudy,\nCo-operatives Minister Dr Ferry Juliantono, and chair of the Apkasindo\ncentral board\u2019s advisory council, retired Indonesian Army General\nMoeldoko.<\/p>\n
At the opening, Prof.\u00a0Rachmat Pambudy stressed that downstream\nprocessing could not be optimised without first addressing problems at\nthe upstream level. The government was committed to tackling these\nfundamental challenges in stages.<\/p>\n
\u201cDeveloping downstream processing requires a strong foundation at the\nfarming level. That is why improving cultivation activities and their\nsupport systems is an integral part of the palm oil downstreaming\nagenda,\u201d Rachmat said.<\/p>\n
Prof.\u00a0Rachmat said he had been directly tasked by President Prabowo\nSubianto with implementing the palm oil downstreaming programme. He\ntherefore called on oil palm farmers, including Apkasindo members, to\nprovide their full support so development plans could be carried out\neffectively and deliver direct benefits to businesses, including\nfarmers.<\/p>\n
Meanwhile, Co-operatives Minister Ferry Juliantono proposed a\nconcrete measure: developing palm oil mills owned by co-operatives. His\nministry said it was ready to support farmers\u2019 co-operatives as they\nenter the processing industry and seek financing through the Revolving\nFund Management Institution (LPDB).<\/p>\n
\u201cI encourage oil palm farmers\u2019 co-operatives to expand their role\ninto the processing industry. Co-operatives are needed for downstreaming\nso that farmers can gain greater benefits from the palm oil business\nchain,\u201d Ferry said.<\/p>\n
Ferry also outlined plans for co-operative-based mills with a\ncapacity of about 60 tonnes per hour, supported by around 7,000 hectares\nof plantations. The initiative was considered a strategic way to improve\nthe welfare of smallholders in various regions.<\/p>\n
\u201cWe are ready to support Apkasindo co-operatives in setting up palm\noil and crude palm oil (CPO) mills,\u201d Ferry said.<\/p>\n
On partnership issues, Ferry encouraged close co-operation between\nfarmers\u2019 co-operatives and PT Agrinas Palma Nusantara in managing oil\npalm plantations. The partnership is expected to strengthen farmers\u2019\nbargaining position at the local level.<\/p>\n
\u201cI ask Apkasindo to help strengthen its member co-operatives as\nbusiness partners,\u201d Ferry said.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/co-operatives-ministry-ready-to-support-oil-palm-farmers-co-operatives-1793199057", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }