IMT-GT Delegation Visits Sei Mangkei SEZ to Strengthen Sustainable Palm Oil Downstreaming Synergy

The Ministry of Agriculture organised a visit to the Sei Mangkei Special Economic Zone (SEZ) in Simalungun Regency, North Sumatra, as the concluding activity for the 19th Indonesia-Malaysia-Thailand Growth Triangle (IMT-GT) Working Group on Agriculture and Agribusiness Meeting, alongside the 4th Project Implementation Team (PIT) Palm Oil Cooperation Meeting. Senior Executive Vice President of PT KINRA, Kennedy NP Sibarani, stated that the Sei Mangkei SEZ is developed as an integrated, export-oriented industrial estate. He noted that it serves as a model for the downstream development of plantation commodities, capable of enhancing added value, attracting investment, and opening opportunities for cooperation with various international partners. The visit provided an opportunity for delegates from Indonesia, Malaysia, and Thailand to witness first-hand the implementation of Indonesia’s integrated palm oil industry downstreaming, from raw material processing to industrial estate development. The programme began with a review of the Sei Mangkei Palm Oil Mill, where delegates received a presentation on the processing of fresh fruit bunches into crude palm oil, along with the application of technology and operational standards that support production efficiency and industry sustainability. Subsequently, the delegates observed the palm oil sorting process as part of efforts to introduce best practices in Indonesian palm oil industry management. The activities continued with a tour of the SEZ, where participants were briefed on the development of the area as a downstreaming hub based on palm oil and rubber, supporting the increased added value of national plantation products. Delegates were also introduced to various innovative downstream industry products, including those from the Palm Oil Research Centre, PT Industri Nabati Lestari, and tea products from the Butong Tea Plantation, demonstrating the diversification and innovation potential of Indonesia’s plantation industry.