{
    "success": true,
    "data": {
        "id": 1636408,
        "msgid": "hilirisation-project-in-sei-mangkei-sez-to-boost-value-addition-1774518742",
        "date": "2026-03-26 16:20:00",
        "title": "Hilirisation Project in Sei Mangkei SEZ to Boost Value Addition",
        "author": "Cahya  Mulyana",
        "source": "MEDIA_INDONESIA",
        "tags": "",
        "topic": "Business",
        "summary": "PT Perkebunan Nusantara (PTPN) IV PalmCo is set to launch an integrated downstream palm oil processing facility in the Sei Mangkei Special Economic Zone in North Sumatra, aligning with national hilirisation policies and directives from the Danantara investment agency. The project will shift the company's focus from raw crude palm oil exports to high-value derivatives like Bio Propylene Glycol, margarin, shortening, cocoa butter equivalents, and biodiesel, potentially increasing economic value by over tenfold. Expected to commence operations by late 2028, it will create around 2,900 jobs and stimulate multiplier effects in logistics and SMEs in the region.",
        "content": "<p>PT Perkebunan Nusantara (PTPN) IV PalmCo is preparing to strengthen\nthe national palm oil industry structure through an integrated\ndownstream project. This subsidiary of Sub Holding PTPN III (Persero)\nhas scheduled the groundbreaking for a comprehensive palm oil processing\nfacility in the Sei Mangkei Special Economic Zone (KEK), North Sumatra,\nshortly after the Eid al-Fitr holiday period.<\/p>\n<p>PTPN IV PalmCo\u2019s President Director, Jatmiko K. Santosa, stated that\nthis strategic step is the company\u2019s response to the national downstream\npolicy. The project is also aligned with directives from the Danantara\nInvestment Management Agency to create a solid cross-sector industrial\necosystem.<\/p>\n<p>\u201cOur technical readiness is already mature. We are currently awaiting\nthe final decision from shareholders, and it is estimated that it can\nstart after this Eid,\u201d Jatmiko said in his statement quoted on Wednesday\n(25\/3).<\/p>\n<p>This transformation marks PalmCo\u2019s shift in focus from merely being a\nproducer and exporter of crude palm oil (CPO) to a player in high-value\nderivative products. One of the main focuses is the development of Bio\nPropylene Glycol (BioPG) processed from fresh fruit bunches (TBS).<\/p>\n<p>Jatmiko emphasised that the economic value of these downstream\nproducts can increase up to tenfold or more compared to selling raw\ncommodities. \u201cThis is what drives us to strengthen Indonesia\u2019s position\nin the global supply chain,\u201d he added.<\/p>\n<p>The facility, targeted to begin gradual operations by the end of\n2028, includes several key production units. These are a margarin and\nshortening factory with a capacity of 40,000 tonnes per year, as well as\na cocoa butter equivalent and substitute factory with 34,000 tonnes per\nyear. Additionally, a biodiesel factory with a capacity of 450,000\ntonnes per year will be built to support national energy resilience.<\/p>\n<p>In addition to industrial aspects, the project is projected to absorb\naround 2,900 workers, from the construction phase to full operations.\nThis is expected to trigger multiplier effects for the logistics sector\nand SMEs in the surrounding North Sumatra region.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/hilirisation-project-in-sei-mangkei-sez-to-boost-value-addition-1774518742",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}