Indonesian Political, Business & Finance News

Bulog Proposes Management Overhaul at PT GMM to Support Sugarcane Farmers

| Source: TEMPO_ID_BISNIS Translated from Indonesian | Business

Perum Bulog has stated that it will strengthen the operations of the PT Gendermis Multi Manis (GMM) factory to ensure the optimal absorption of sugarcane from farmers in Blora Regency, Central Java. This initiative is also intended to maintain farmer trust in the national sugar industry.

“The strengthening of PT GMM’s operations is being undertaken by Bulog as a commitment to follow up on various aspirations expressed by sugarcane farmers in Blora,” said Tomi Wijaya, Head of the Public Relations Division of Perum Bulog, as reported on Tuesday, 2 June 2026.

He noted that several strategic steps have been taken to demonstrate the company’s seriousness in improving governance and enhancing the factory’s operational performance. As part of these improvement efforts, Bulog has proposed a change in the management of PT GMM with a new leadership structure.

Tomi explained that this step is a response to feedback and expectations from sugarcane farmers, desiring a company that is managed more effectively, professionally, and with a focus on improving services to farmers. The management change is expected to strengthen operational coordination, increase decision-making speed, and foster better relationships between the company and farmers as primary partners.

In addition to management reforms, Bulog has also submitted a proposal to shareholders for the repair of PT GMM’s boiler machines through the appropriate mechanisms. This step is part of an effort to increase the reliability of production facilities to support smooth milling processes and optimise factory performance.

Tomi emphasised that Bulog understands that optimal sugar factory operations are crucial to ensuring the smooth collection and processing of farmers’ sugarcane. Therefore, various improvement measures are being implemented gradually while maintaining good corporate governance.

Tomi continued that Bulog, as a State-Owned Enterprise (SOE), is committed to listening to farmers’ aspirations and taking necessary corrective actions to support the sustainability of the national sugar industry. “Every piece of input from farmers is our priority,” he said.

Previously, PT Gendhis Multi Manis (GMM) in Blora, Central Java, diverted sugarcane deliveries to several other sugar mills around Blora and in other regions to ensure farmers’ harvests could still be absorbed. This was stated by the Acting President Director of PT GMM, Sri Emilia Mudiyanti.

“We have formed a team to assist in the process of diverting sugarcane deliveries to other sugar mills. Meanwhile, the GMM Blora factory is currently unable to operate due to technical machinery constraints,” said Sri during a dialogue with representatives from sugarcane farmers and the Front Blora Selatan.

Sugarcane farmers in Blora previously staged a protest at PT GMM, demanding that the company absorb their sugarcane as previously promised. Despite various efforts by the farmers, the absorption of their crops has yet to be fully realised.

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