Indonesian Political, Business & Finance News

PASPI Appreciates BPDP's Commitment to Palm Oil Research

| | Source: MEDIA_INDONESIA Translated from Indonesian | Agriculture
PASPI Appreciates BPDP's Commitment to Palm Oil Research
Image: MEDIA_INDONESIA

The Plantation Fund Management Agency (BPDP) is regarded as having a strategic role and strong commitment in supporting research activities in the national palm oil sector.

In his statement today, Executive Director of the Palm Oil Agribusiness Strategic Policy Institute (PASPI), Tungkot Sipayung, expressed that BPDP’s commitment to supporting palm oil research is evident. By 2025, BPDP has funded approximately 400 research titles covering various aspects from upstream to downstream of the palm oil industry.

To date, the research funded by BPDP encompasses a wide range of topics, from the development of new palm-based materials and biomass that generate high added value to studies on plantation environments and certification efforts to realise sustainable palm oil and support a circular economy.

“Research funded by BPDP spans from upstream to downstream in the palm oil sector. From this perspective, BPDP’s commitment to supporting palm oil research is clearly evident,” he said in Jakarta on Tuesday (7/4/2026).

Tungkot Sipayung hopes that BPDP can continue to optimise support for research activities, including through periodic comprehensive evaluations to obtain strategic input in enhancing the institution’s effectiveness in the research field.

He highlighted that one aspect needing evaluation is the limitation of research outcomes that successfully become innovations in business practices in the palm oil industry. According to him, most palm oil research results still stop at the level of scientific publications and have not progressed to practical implementation in the industry.

“What the palm oil industry needs is business innovation. It is somewhat ironic that palm oil research is increasing, but productivity is stagnant or even declining,” he stated.

The author of the book Myths and Facts of the Indonesian Palm Oil Industry gave an example that there are many studies related to ganoderma disease that attacks palm oil plants, but to date, there is no national policy that provides a solution for tackling this disease in the country.

“This is the future challenge that must be addressed: how to accelerate the implementation of research results or inventions into business innovations and policies,” he emphasised.

Tungkot believes that a paradigm shift is needed for future palm oil industry research, from supply-driven to market-driven. He stressed that industry players greatly hope that palm oil research will produce innovations that can solve real problems in the field.

Research funded by BPDP is expected to provide solutions and act as problem-solvers for various issues faced by the national palm oil industry today, such as increasing productivity or efficiency, enhancing sustainability aspects and environmental awareness, and global issues, as well as encouraging the discovery/innovation of new products or markets.

“No matter how sophisticated the research is, if it cannot produce solutions for the real problems faced by the palm oil industry, it is not very useful,” he said.

He added that research in the palm oil sector needs to pay more attention to negative campaign issues at the global level. He said that the challenge of public perception towards the palm oil industry is still not matched by adequate research support.

“If public perception of palm oil worsens and is left to fester, it will slowly destroy the future of palm oil. In this era of information, do not underestimate perception,” he concluded.

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