Torganda Land to Become Pilot Project for Palm Oil Rejuvenation
PT Agrinas Palma Nusantara plans to designate the palm oil land of PT Torganda as a pilot project for smallholder palm oil rejuvenation (PSR). “Once the underlying or land rights issues are resolved, I believe Agrinas will promptly designate one of the locations in Sumatra as the pilot project,” said Seger Budiardjo, Director of Partnerships and Plasma at Agrinas Palma Nusantara, in Jakarta on Monday, 27 April 2026.
The palm oil land was seized by the Attorney General’s Office in April last year. The 47,000-hectare palm oil plantation is located in the Register 40 forest area, Padang Lawas Regency, North Sumatra.
Seger stated that Agrinas Palma will communicate with the cooperative that will serve as its partnered entity. The smallholder palm oil rejuvenation mechanism will be carried out under single management. This means Agrinas will play a role in the rejuvenation process to maintain plantation sustainability.
Seger explained that the palm oil rejuvenation mechanism will be outlined in an agreement between Agrinas Palma and the cooperative. “We will ensure the cooperative’s role remains significant. Transparency in our cooperation, transparency in the results we obtain, and transparency if, for example, we process fresh fruit bunches into CPO, will be prioritised,” he said.
The palm oil rejuvenation process will be carried out gradually over the next four to five years. He estimated that the first phase of rejuvenation will cover 20 hectares of land.
Meanwhile, Mohammad Abdul Ghani, President Director of Agrinas Palma Nusantara, estimated that the process of transferring the palm oil land to his company will soon be completed. He assured that the smallholder palm oil rejuvenation project on the seized land will be implemented with principles that are environmentally and socially friendly. “There are enclaves that we intentionally leave untouched to create biodiversity for both flora and fauna,” he stated.
The 47,000-hectare palm oil land was previously controlled by several parties, namely the Bukit Harapan Palm Oil Plantation Cooperative (KPKS) and PT Torganda covering 23,000 hectares, as well as the Parsub Cooperative and PT Torus Ganda covering 24,000 hectares.
After the Forest Area Regulation Task Force handed over the land to the executing prosecutor, it will then be followed up by the Ministry of Forestry in accordance with applicable laws and regulations. The Ministry of Forestry then handed over the land along with the buildings on it to the Ministry of State-Owned Enterprises to be managed by Agrinas Palma.