Aceh government proposes patchouli oil as warehouse receipt system commodity

The Aceh government has proposed the designation of Acehnese patchouli oil as a warehouse receipt system (SRG) commodity to the Commodity Futures Trading Regulatory Agency (Bappebti) of the Indonesian Ministry of Trade.

“This is part of the Aceh government’s efforts to protect and at the same time seek to improve the welfare of patchouli farmers,” said Aceh government spokesperson Nurlis Effendi in Banda Aceh on Friday.

The proposal was submitted by the Head of the Aceh Industry and Trade Office, T Adi Darma, and received by the Head of the Bureau for Warehouse Receipt System and Commodity Auction Market Development at Bappebti, Diah Sandita Arisanti.

The process was also witnessed by the Assistant Deputy for Partnership and Supply Chain in the Medium Enterprises Sector of the Indonesian Ministry of SMEs, Metty Kusmayantie, in Jakarta on Thursday (20/8).

Nurlis said Aceh Governor Muzakir Manaf had instructed the Aceh Industry and Trade Office to continue overseeing the process of designating Acehnese patchouli oil as an SRG commodity.

“Hopefully Bappebti will soon designate patchouli oil as an SRG commodity. This concerns the livelihoods of thousands of patchouli farmers in Aceh,” he said.

He said Acehnese patchouli oil is a leading regional commodity whose ecosystem is now complete and ready to be integrated into the SRG scheme.

“This instrument is eagerly awaited by farmers and business actors as the main buffer of their economy. This is the embodiment of our task in protecting farmers through existing instruments,” said Nurlis.

Responding to the initiative, the Head of the Bureau for Warehouse Receipt System and Commodity Auction Market Development at Bappebti, Diah Sandita Arisanti, expressed appreciation to the Aceh government and affirmed Bappebti’s commitment to move quickly.

“Hopefully it can be implemented by the end of this year,” she said.

On this occasion, the Assistant Deputy for Partnership and Supply Chain in the Medium Enterprises Sector of the Indonesian Ministry of SMEs, Metty Kusmayantie, stated that her office is providing special assistance for the patchouli ecosystem, including in Aceh.

This step is realised through the signing of a cooperation agreement with PT Razma Agro Jayana as the Holding Company for Aceh Patchouli SMEs. The ministry is also facilitating the distribution of People’s Business Credit (KUR) financing.

“This is like a perfect match; we hope the SRG programme can be realised soon,” said Metty Kusmayantie.