$450 million earmarked for plantation projects
$450 million earmarked for plantation projects
JAKARTA (JP): The government has licensed 20 firms to establish plantations aimed at promoting transmigration to the country's less densely populated areas.
"All of the 20 private domestic firms will invest around Rp 1 trillion (US$450 million) between them," Minister of Transmigration Siswono Yudohusudo said last week.
Out of the licensed companies, nine will open palm oil plantations and seven others will establish industrial timber estates, he said.
The minister did not disclose the commodities which will be developed by the other four companies but said that they will operate their plantations under a nucleus estate and smallholder scheme.
Each of the plantations will be established on an area of about 6,000 hectares, which can be extended to 10,000 hectares or even 15,000 hectares, he said.
The planned plantations are expected to improve the livelihood of transmigration farmers either by employing them as laborers or by allowing them to supply commodities through their own small holdings, Siswono added.
Of the nine palm oil plantations, seven will be located in Central Kalimantan and two in Sumatra.
The firms that will operate in Central Kalimantan include PT Meta Epsi Argo, PT Indhasana, PT Gemareksa, PT Wanapada, PT Graha Jaya Abadi, PT Graha Jaya Wira Sentosa and PT Dwi Jaya Utama Sejati, while the other two consist of PT Victorindo Alam Lestari in North Sumatra and PT Rama Makati Beliti in South Sumatra.
The nucleus estate and smallholder plantation firms include PT Kasmar Tiar Sembada in South Sulawesi, PT Tiga Mitra Perdana in Aceh, PT Rigunas Agri Utama I in Riau and PT Rigunas II in Jambi.
The industrial timber estates will be operated by PT Rimba Wawasan Permai in Aceh, PT Mayang Adi Wana in West Kalimantan, PT Meranti Sembada in Central Kalimantan, PT Jati Cakrawala in Maluku, PT Rimba Rokan Hulu in Riau, PT Antang Kalimantan in Central Kalimantan and PT Sumalindo Lestari Jaya in East Kalimantan. (hdj)