Indonesian Political, Business & Finance News

Farmers Need Real Support to Achieve ISPO Certification

| | Source: REPUBLIKA Translated from Indonesian | Agriculture
Farmers Need Real Support to Achieve ISPO Certification
Image: REPUBLIKA

The Plantation Fund Management Agency (BPDP) and the Indonesian Plantation Companies Association (GPPI) are promoting the acceleration of Indonesian Sustainable Palm Oil (ISPO) certification for smallholder palm oil farmers. This effort underscores the importance of tangible support in the form of financing and institutional strengthening for farmers.

The step is deemed crucial for expanding the scope of certification while enhancing the competitiveness of Indonesian palm oil in the global market. The initiative was discussed at the Workshop on Accelerating ISPO Certification for Smallholder Palm Oil Farmers, organised by GPPI with support from BPDP and the Ministry of Agriculture in Jakarta on Tuesday (28 April 2026).

Acting Director General of Plantations at the Ministry of Agriculture, Ali Jamil, stated that palm oil plays a strategic role in the national economy as well as in meeting food and energy needs. Indonesia’s palm oil production reached 53.6 million tonnes in 2025. “Palm oil plays an important role in meeting food and energy needs. This is where Indonesia’s important role as the world’s largest palm oil producer comes in,” said Ali Jamil in a speech read by Director of Palm Oil and Other Palms, Iim Mucharam, in Jakarta, quoted on Thursday (30 April 2026).

He explained that accelerating ISPO certification is a key part of strengthening global market confidence in Indonesian palm oil products. Challenges at the smallholder level are still limiting the expansion of certification, particularly regarding access to financing and institutions.

President Prabowo Subianto has issued Presidential Regulation No. 16 of 2025 on the Indonesian Sustainable Palm Oil Certification System (ISPO), which expands the certification obligation to include upstream, downstream, and bioenergy sectors. Ali added that the implementation of ISPO is aimed at improving governance in the palm oil industry while increasing global competitiveness. To date, more than 7.5 million hectares of land have been ISPO certified.

“ISPO is the main key to global market acceptance of palm oil products. The current challenge is not only to expand the scope but to ensure that farmers can meet certification standards,” he said.

Director of Upstream Sector Fund Distribution at BPDP, Normansyah Hidayat Syahruddin, emphasised that financing support is a key factor in accelerating ISPO certification at the smallholder level. “Ministerial Regulation No. 33 of 2025 stipulates that smallholders can apply for ISPO certification financing through farmer institutions. Smallholders who successfully obtain certificates through BPDP funding will be prioritised for access to other programmes, such as smallholder palm oil replanting,” said Normansyah.

Through the Palm Oil Plantation Infrastructure and Facilities Programme, BPDP funds various stages of certification, from STD-B data collection, environmental management statements, internal control system (ICS) training, assistance, to certification and audits.

To accelerate implementation, BPDP has also formed the Smallholder ISPO Certification Acceleration Team, which is tasked with coordinating implementation, preparing technical steps for fund distribution, mapping cross-sector support needs, and formulating operational policy recommendations.

GPPI General Chairman Delima Hasri Azahari assessed that tangible support is key to overcoming various certification obstacles at the farmer level. “The low achievement of ISPO certification among farmers requires an acceleration strategy and collaboration from all parties. Financing support and institutional strengthening are important factors so that farmers can meet certification standards,” said Delima.

She added that global market demands continue to evolve, not only on ISPO and RSPO certifications but also towards regenerative agriculture standards that emphasise sustainable practices. The workshop featured two discussion sessions with speakers from the government, associations, and related institutions to formulate concrete steps for accelerating ISPO certification at the smallholder level.

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