Successful in Riau, PTPN V’s Palm Oil Replanting Program to be Applied Nationally

Pekanbaru – The successful community oil palm replanting (PSR) program carried out by a subsidiary of the Riau Plantation Holding Company, PT Perkebunan Nusantara V, will be applied nationally as part of strengthening one of the national strategic programs (PSN). “PTPN V is a subsidiary of the Nusantara Plantation Holding Company that has the largest number of farmers’ oil palm assistance. What is done by PTPN V, God willing, we will try to apply its business model nationally (to) pursue the government’s target of accelerating the PSR which is included in the PSN,” said Director of Institutional Holding of Plantation Nusantara, Arifin Firdaus in Siak Regency, Riau, Monday (19/6/2023).

Arifin said this on the sidelines of the first harvest of six village unit cooperatives centered in Siak Regency. The six cooperatives participating in the plasma program are Tunas Muda with an area of 250 hectares, Tandan Mas Jaya with an area of 216 hectares, Budi Sawit with 90 hectares, and Lembah Sawit with an area of 160 hectares located in Siak District, as well as two other cooperatives located in Kampar District, namely Gemah Ripah with an area of 703 hectares and Subur Makmur with an area of 454 hectares. The first harvest activity with a total area of 1,873 hectares of rejuvenated land was also attended by Siak District Regional Secretary Arfan Usman, PTPN V Director Jatmiko Santosa, Chairman of the Association of People’s Core Plantation Oil Palm Farmers (Aspekpir) Setyono and representatives of the six heads of PTPN V PSR participating cooperatives.

He explained that the government has set a high target in replanting people’s oil palms this year, reaching 180,000 hectares. For this reason, as a state-owned company, the Plantation Holding will try to find a formula to help accelerate the target, including by applying the partnership model that is very well established by PTPN V. Furthermore, Arifin also appreciated PTPN V’s various strategies and approaches, including implementing best agriculture practices and productivity guarantees to PSR participating farmers. As a result, the farmers’ young oil palms grow well, cutting the harvesting period much faster, reaching less than 30 months from the usual three to four years of age. Likewise, the productivity of the farmers’ young oil palms is 50 percent higher compared to other oil palms of the same age.

Similarly, Siak District Regional Secretary Arfan Usman explained that the local government fully supports the PSR program implemented by PTPN V. He said that PTPN V’s PSR program has proven successful in increasing the productivity of plasma oil palm farmers in Siak District, and is expected to be in line with the economic improvement of farmers. “We must fully support PTPN V’s good intentions. This first harvest is clear evidence. For that, I urge all ladies and gentlemen who have partnered, come on, invite all of you to partner with PTPN V. See and witness for yourself the real results of the harvest. See and witness for yourself the real results of the first harvest here,” appealed the Secretary.

Chief Executive Officer of PTPN V, Jatmiko Santosa on the same occasion admitted that he was happy to see the smiles of the representatives of oil palm farmers who participated in the PSR program. He said that all the fatigue and sweat of PTPN V employees who were involved in the implementation of the PSR in the six cooperatives disappeared as soon as they saw the plants that were replanted in November 2020 growing very well. He also said that the main recipe for the people’s oil palm plants to be able to thrive and harvest faster with increased productivity was the application of cultivation techniques according to the company’s high standards. Starting from the use of certified superior seeds, fertilization, maintenance, to treatment with PTPN V standards.

“Alhamdulillah, this is one of the tangible proofs that we are truly committed to returning to khittah, growing and developing with farmers. Farmers are able to harvest faster than the usual three to four years to harvest, now thank God less than 30 months of age has been harvested. Likewise, productivity is 50 percent higher than normal,” said the figure who succeeded in bringing great changes in PTPN V. Not only that, he also explained that PTPN V’s innovation in empowering farmers through labor-intensive programs so as to ensure the availability of income during the waiting period for harvest, as well as rolling out MSME programs such as cattle farming through environmental social responsibility programs to keep the farmers’ economy running are the advantages of this partnership program. Likewise, the knowledge transfer program is expected to increase farmers’ understanding in cultivation practices.

In addition, he also explained that PTPN V was the first company that dared to provide production guarantees for farmers. “PTPN V is the first company that dares to provide production guarantees for farmers participating in the PSR program. We will compensate if the production of PSR participating farmers is below the existing standards,” he said. “So, ladies and gentlemen who are still in doubt, come here once in a while. See for yourself how our partner farmers who participate in PSR. Discuss with our partners and conclude for yourself. These are all choices for the future of the next 20 to 25 years,” he continued. Furthermore, Jatmiko also explained that currently PTPN V is listed as the company with the largest percentage of plasma plantations in Riau by embracing 56,000 hectares of plasma farmers or equivalent to 66 percent of the core land area cultivated. This means, he said, PTPN V has exceeded the 20 percent mandated by the Ministry of Agriculture.

In Siak District alone, he said the company has embraced thousands of plasma farmers with a total plantation area of 15,000 hectares. Likewise in Kampar District, he said the company partnered with thousands of plasma farmers with a total plantation area of 19,732 hectares. To date, he said the total PSR Program that has been implemented by PTPN V since 2012 has reached 8,618 hectares and is targeted to reach 22,444 hectares by 2026. KUD Tunas Muda Chairman Setyono acknowledged that PTPN V’s PSR program is carried out with high standards and quality workmanship. As a result, the process of replanting to harvesting took place very quickly and productivity also increased.

“We replanted in November 2020 and harvested in early 2023. Very fast. Since the beginning, we have seen that PTPN V is very serious in carrying out this replanting. Our plants are thriving and God willing, productivity will not disappoint. This is our savings for the next 25 years and the results are satisfactory. Thank you PTPN V,” said Setyono.