Palm oil production increases by 4.4%

JAKARTA (JP): Minister of Agriculture Sjarifudin Baharsjah said yesterday that Indonesian crude palm oil (CPO) production increased by 4.4 percent in one year to 3.42 million tons in 1993.

According to the ministry's press release, the increase was generated by a 10.4 percent expansion of palm plantations area to 1.61 million hectares last year.

The 1993 production fell below the target of 3.75 million tons because of a delay in the completion of several plants in West Kalimantan and Riau.

The minister projected that with the start-up of several new mills, that oil production could increase to 4.09 million tons this year.

About 60.2 percent of the national output last year was produced in North Sumatra, 18.3 percent in Riau, 4.9 percent in Aceh, 3.8 percent in South Sumatra and 3.5 percent in West Sumatra.

He said that 42.9 percent of 1993 production was derived from state-owned plantations, 40 percent from private plantations and 17 percent from smallholders.

He said the number of oil processing units increased from 49 with a milling capacity of 1,324 fresh fruit bunches per hour in 1983 to 109 units with a total capacity of 3,916 tons per hour in 1993. Of the total, 58 units are owned by state plantation companies and 51 units by the private sector.

He said that by 1998, private plantation companies will own more processing plants than the state firms as the former companies will build 67 new mills.(03)