Airlangga: PSR programme important for increasing palm oil productivity

Coordinating Minister for Economic Affairs Airlangga Hartarto has said the Smallholder Palm Oil Replanting (PSR) programme is important for increasing palm oil productivity amid various strategic initiatives such as the B50 biodiesel mandate.

“The PSR programme is aligned with the biodiesel programme, which at this stage has reached B50, launched by the President (Prabowo Subianto) on 9 July,” Airlangga said at a press conference in Jakarta on Thursday.

“This policy increases the need for CPO for biodiesel from 15.6 million tonnes per year to 18 million tonnes, so the PSR programme becomes important because it increases the productivity of palm oil,” he added.

The government, through the Coordinating Ministry for Economic Affairs, the Ministry of National Development Planning/National Development Planning Agency (PPN/Bappenas) and the Plantation Fund Management Agency (BPDP), is accelerating the PSR programme and the development of plantation human resources.

BPDP President Director Eddy Abdurachman said PSR is one of the government’s strategic programmes for increasing the productivity and sustainability of smallholder oil palm plantations, while also promoting improved welfare for smallholders.

The PSR programme is carried out by replacing unproductive plants with superior seeds and implementing Good Agricultural Practices (GAP).

In its implementation, BPDP plays a role in managing and channelling funding support to smallholder institutions in accordance with regulations, involving local governments, partner banks and relevant stakeholders.