Bakrie, cooperatives tie up

Bakrie, cooperatives tie up

JAKARTA (JP): PT Agrowiyana, a subsidiary of PT Bakrie
Sumatera Plantation (BSP), will join up with farmers'
cooperatives to build a palm oil processing plant in Jambi.

Agrowiyana, which operates oil palm plantations in the
province, said on Thursday that the company and the cooperatives
would spend about Rp 45 billion on construction of the mill.

Agrowiyana will initially own an 80 percent stake in the plant
and the remainder will be under KUD Swakarsa and KUD Suka Makmur,
farmers' cooperatives, who also grow oil palms in cooperation
with the company. Palm oil is a major component of cooking oil.

The memorandum of understanding for the construction of the
palm oil processing mill was signed in Jakarta on Thursday by
Gafur Sulistyo Umar, CEO of Agrowiyana, Eka Nurdaya, the chairman
of KUD Swakarsa, and Sugiono, the chairman of KUD Suka Makmur and
president of Bank Nusa Nasional, which will support the financing
of the plant. (29)