Indonesian Political, Business & Finance News

USK and ILO Strengthen Patchouli Downstreaming in Aceh

| Source: ANTARA_ID Translated from Indonesian | Economy
USK and ILO Strengthen Patchouli Downstreaming in Aceh
Image: ANTARA_ID

Banda Aceh (ANTARA) - Universitas Syah Kuala (USK), in partnership with the International Labour Organization (ILO), has committed to strengthening the downstreaming of patchouli to ensure market certainty for farmers’ produce.

Speaking in Banda Aceh on Friday, the Project Manager for Promise II Impact ILO Jakarta, Djauhari Sitorus, stated that the collaboration with USK through the Atsiri Research Center (ARC) has been ongoing for approximately four years and serves as a vital component in capacity-building efforts for entrepreneurs and the local community.

“We are committed to maintaining support for the patchouli development programme alongside USK, with activities that can be tailored to the specific needs of each location,” said Djauhari.

He explained that the ILO is also creating opportunities to strengthen coordination with various stakeholders.

This support encompasses training in financial management, business planning, and entrepreneurship, as well as enhancing the institutional competence of MSMEs, digital transformation, and facilitating policy discussions and coordination between central and local governments, as well as relevant ministries and agencies.

The Rector of USK Banda Aceh, Prof. Mirza Tabrani, expressed his commitment to developing patchouli as a sector capable of providing added value for both the university and the community.

“This development is not merely oriented towards training activities, but is directed towards the formation of a business ecosystem capable of integrating the upstream and downstream sectors,” said Mirza.

In developing this business, USK has prepared a company that will serve as a vehicle to manage various patchouli development collaborations through business-to-business (B2B) models.

He noted that the company is designed with USK holding the majority ownership.

“This entire collaboration is B2B, whether it involves creating new businesses or establishing factories in the future. It must be sustainable. Therefore, it is not just about training, but about long-term continuity,” he explained.

Mirza emphasised that sustainability is a core principle in the development of the patchouli business.

He added that the approach is not only focused on providing aid and training but also on ensuring the long-term viability of the enterprise.

“If we do not establish an upstream-to-downstream business, it will not survive. Therefore, our goal is to encourage farmers to plant and subsequently ensure we can sell the resulting produce,” he concluded.

View JSON | Print