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100 Hectares of Oil Palm Plantation in Langkat Destroyed

30

Nov

100 Hectares of Oil Palm Plantation in Langkat Destroyed

A joint team formed by the North Sumatra Provincial Government involving 150 North Sumatra Forestry Police (Polhut) personnel, the TNI, the Polri, [...]

100 Hectares of Oil Palm Plantation in Langkat Destroyed. A joint team formed by the North Sumatra Provincial Government involving 150 North Sumatra Forestry Police (Polhut) personnel, the TNI, the Polri, the BPN, the Public Prosecutor's Office, the Satpol PP and related agencies destroyed levees of Budi's shrimp ponds using two excavators covering almost 40 hectares of land.Meanwhile, the forest recovery team felled oil palm plants using two chainsaws in the UD Sawita plantation (Sutrisno alias A Kam), director, covering 60 hectares of land, and Ayub alias Leo's land in Dusun Tepi, Gandu Lubuk Kertang.Head of the Forest Security Division of the North Sumatra Provincial Forestry Office, A Sibuea, as the Head of the Field Operations Executive, said in Langkat, Sunday (29/11), that the operation was carried out based on an order from the Governor of North Sumatra.`The operation in Lubuk Kertang Brandan Barat Village, Langkat, will start from November 27th until December 1st, 2015. On December 2nd and the following days, the operation will move to another location, but the location is secret. One thing is for sure, it will be in the HP and HL forest areas. This forest recovery operation was carried out because the oil palm plantation and shrimp ponds were located in illegal mangrove HP and HT areas,` A Sibuea said.He explained that more than 650 hectares of HP and HL coastal forests in Lubuk Kertang Brandan Barat had been converted into an oil palm plantation, based on a fraudulent notarial deed.`The rest of the land will soon be returned. The HP and HL areas that have been controlled will soon be rehabilitated, like what the Forestry Office did on the land next to ours today,` Sibuea said.He said that there were already mangrove plants and Forestry Planks in the location. Before the mangroves were planted, the land was an oil palm plantation. Rehabilitation is carried out gradually to restore the growth of marine biota. This operation was led by the Head of the Forest Protection Division of the North Sumatra Forestry Office, Ir. Juliani Siregar MAP, who is also the Head of the Team, he explained.Sibuea admitted that before the forest recovery operation, plantation and shrimp pond business owners were asked to vacate their lands. He also admitted that Sutrisno alias A Kam was once tried in the Medan District Court and sentenced to six months in prison with a suspended sentence, without detention, in 2013. However, A Kam's plantation business continued to operate in the HP and HT areas. `There was no resistance from the encroachers. If they object, we are ready to be sued. There was no violence. Before the recovery process, we had sent them a notification,` Sibuea explained.Information obtained from the North Sumatra Forestry Office said that today (November 30), the North Sumatra Conservation of Natural Resources Center (BBKSAD) of the Ministry of the Environment and Forestry of the Republic of Indonesia carried out a Recovery and Control Operation on the encroachment of the Wildlife Conservation Area (KSDA) that was converted into an oil palm plantation in Tapak Kuda Village and Pematang Sentang Village in Tanjungpura District, Langkat. (misno)
http://www.medanbisnisdaily.com/news/read/2015/11/30/201518/seratus-hektare-tanaman-sawit-di-langkat-dihancurkan/#.VlwPp15na1s

Government Asked to Focus on Agricultural Plantations Section

30

Nov

Government Asked to Focus on Agricultural Plantations Section

Political economy observer Riza Damanik said, extractive sectors obviously absorb large amounts of capital because they try to minimize their [...]

Government Asked to Focus on Agricultural Plantations Section. Political economy observer Riza Damanik said, extractive sectors obviously absorb large amounts of capital because they try to minimize their workforce. As a result, it is difficult to expect extractive industries to increase public welfare.
“This is different from the plantation sector, for instance the tobacco industry (IHT), which was able to absorb up to 6 million direct workers and millions more who worked in related industries,” explained Riza, Sunday (October 29, 2015).
The data shows that all of the value from state-owned companies, which was Rp 1,890 trillion, was only able to pay Rp 160 trillion in taxes (8.5 percent). And the pharmaceutical industry, with value of Rp 307 trillion, only paid Rp 3 trillion in taxes (0.9 percent). Meanwhile, cigarette factories, with an industry value of Rp 248 trillion, paid Rp 131 trillion in taxes (excise tax) (52.7 percent). 
Meanwhile, as revealed in a hearing with the House of Representatives recently, Freeport paid the government Rp 487 trillion in taxes, royalties, and dividends over the last four years. Or just Rp 122 trillion per year.
“That’s the irony. The IHT pays Rp 131 trillion in excise tax, and when combined with other taxes, could reach Rp 200 trillion. Meanwhile Freeport only pays Rp 122 trillion per year. And even then, that doesn’t compare to the environmental damage caused by the mining,” he criticized.
Riza added that the contribution of mining to regional income in the east is small, while the company’s profits are largely taken overseas instead of being reinvested in Indonesia. Meanwhile, the plantation, fishery, and agriculture sectors are sustainable economic sectors that involve millions, and create more even economic growth.
With data showing large contributions to the IHT sector, Riza asserted that the government should not continue to prioritize extractive industries like Freeport. “Freeport only worsens economic disparity, especially in Papua. And Freeport is continuing that,” he added.
He reminded people that the government’s economic orientation must target the lives of many people and be based on sustainable economics, not just five-year interests. Then, every regulatory policy issued by the government, like excise tax policy, must always consider the capacity and support of industry, and should not prioritize short-term interests.
`There also has to be restructuring in the banking sector. Financial mobilization of the banking sector only goes to the extractive sector. This has to change to the plantation, livestock, and MSME sectors because their creditors won’t run off to Singapore,` asserted Riza. (Yudho Winarto/Kontan)
Editor: SanusiSource: Kontanhttp://www.tribunnews.com/bisnis/2015/11/30/pemerintah-diminta-fokus-ke-sektor-perkebunan

Economist Says Deflation Hard to Achieve This November

30

Nov

Economist Says Deflation Hard to Achieve This November

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Minister of Agriculture: Palm oil should be supported as it is strategic

30

Nov

Minister of Agriculture: Palm oil should be supported as it is strategic

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Indonesia to Hike Biodiesel Output to Meet New Mandate

27

Nov

Indonesia to Hike Biodiesel Output to Meet New Mandate

Indonesian biodiesel producers plan to raise output capacity by nearly a fifth to eight million kiloliters next year to meet higher mandates, a [...]

Indonesia to Hike Biodiesel Output to Meet New Mandate.

Indonesian biodiesel producers plan to raise output capacity by nearly a fifth to eight million kiloliters next year to meet higher mandates, a senior industry official said. 
Indonesia has been pushing for greater local use of biofuel, made from vegetable oils, to cut its fossil fuel import bill and create more demand for palm oil, of which the nation is the world's largest grower and exporter, as well as Malaysia. 
`Our capacity now is 6.8 million kiloliters for biofuel; next year we expect it to be eight million kiloliters,” Paulus Tjakrawan, chairman of Indonesia’s Biofuel Producers Association, told an industry conference on the resort island of Bali on Thursday (Nov 26).
`That will be more than enough to support B15 and B20 next year,” he said, referring to the country's biodiesel program requiring a minimum 15 percent bio content in diesel fuel, set to rise to 20 percent in 2016.
Malaysian benchmark palm oil prices stand to gain if Indonesia absorbs more of its crude palm oil to blend into biodiesel as the country moves towards B20, leaving less tropical oil available for export. 
The Indonesian Automotive Association is working to ensure vehicles can run on 20 percent biodiesel. 
`Based on our road test, we are quite positive we can implement B20,” said Abdul Rochim, a board member of the Automotive Industry Association.
`We cannot avoid (implementing B20), we have to follow, but we need an increase in specification,” so it does not damage engines, he added. 
Paulus said producers were working to raise quality standards. 
Higher biodiesel consumption is seen as important for Indonesia to meet its commitments to cut greenhouse gas emissions. Last year, biodiesel use contributed to 11.8 percent of the country’s energy and transportation sector emission savings, Paulus said earlier this week. 
Indonesia is the world's fifth-biggest greenhouse gas emitter when deforestation is included in the equation. The country faces international pressure to tackle carbon-rich peatland and forest destruction that causes choking smoke haze to spread across much of Southeast Asia each year.
Ahead of a U.N. climate conference in Paris next month, the government has also pledged to cap its rising greenhouse gas emissions by 2030. [hd]
http://www.voaindonesia.com/content/indonesia-akan-naikkan-produksi-biodiesel-untuk-penuhi-mandat-baru/3077090.html

Businessmen Ask Oil Palm to be Strategic Commodity

27

Nov

Businessmen Ask Oil Palm to be Strategic Commodity

Secretary of (Gapki) the North Sumatra provincial chapter, Timbas Prasad Ginting, said that the request was made by the chairman of (Gapki), Joko [...]

Businessmen Ask Oil Palm to be Strategic Commodity. Secretary of (Gapki) the North Sumatra provincial chapter, Timbas Prasad Ginting, said that the request was made by the chairman of (Gapki), Joko Supriyono, before Vice President Jusuf Kalla (JK) when opening the Indonesian Palm Oil Conference (IPOC) in Nusa Dua, Bali, on Thursday (July 26). `This request is very important for the development of the palm oil industry in Indonesia,` he told MedanBisnis through a phone call.Gapki is holding the 11th IPOC in Nusa Dua, Bali, for two days, November 26-27, 2015. This IPOC is attended by 22 countries, namely Australia, Singapore, Denmark, Saudi Arabia, and many others.IPOC is a forum for business actors and stakeholders, owners, CEOs and executives, and policy makers at both the national and international levels, to jointly discuss strategic issues related to the palm oil industry from upstream to downstream.IPOC is also an event for business actors to expand their business networks, either through product exhibitions, sponsoring, or face-to-face meetings. `One of the main topics this time is also a solution to boost CPO prices in the international market,` Timbas added.Nationally, Timbas said, at least 16 million Indonesians depend on the palm oil industry for their livelihoods, either as entrepreneurs, farmers, or workers in palm oil mills. Similarly in North Sumatra, the regional economy is also largely supported by the palm oil industry.Foreign exchange earnings from this sector are also quite large. Last year, for example, palm oil was the largest contributor to non-oil and gas foreign exchange earnings at approximately USD21 billion, or 13.4 percent of the total national export value. Meanwhile in North Sumatra, despite pressure on export performance, the contribution of CPO export earnings still exceeded 43 percent of the total export value of North Sumatra. CPO has also remained the main commodity contributing the largest foreign exchange earnings in North Sumatra up to now.Therefore, by making the palm oil industry a strategic commodity, attention to the development of this industry has become more focused. At the very least, it could receive the same treatment as the oil and gas industry. `That way, the palm oil industry will grow even more and contribute more to the economy,` he said.Meanwhile, he added, the government will support the plan. Quoting Vice President JK's statement in his speech, the government considers the palm oil industry as one of the strengths in boosting the Indonesian economy. `The palm oil industry has also helped to improve the welfare of many communities,` he said, quoting JK.Palm oil has now become a global food and energy source. To support the development of this industry, the government plans to build ports in a number of regions. This is to facilitate the distribution of CPO for inter-island trade and exports. The centers of the palm oil industry will also find it easier to obtain supporting raw materials and production machinery because they are closer to the ports.However, the government also asked palm oil entrepreneurs not to deposit their foreign exchange earnings overseas. This is intended to increase the country's foreign exchange reserves and in turn strengthen the economy. If it is deposited overseas, then other countries that will become stronger. `If the palm oil entrepreneurs fulfill and carry out all of their obligations under government regulations, then the government is also ready to facilitate the palm oil business in the country,` JK said firmly.The appeal for entrepreneurs to deposit their export earnings in the country has actually been included in the economic policy package of President Joko Widodo (Jokowi)'s administration, which was announced some time ago. The main objective of this measure is to strengthen foreign exchange reserves and strengthen the position of the rupiah currency. (daniel pekuwali)
http://www.medanbisnisdaily.com/news/read/2015/11/27/201001/pengusaha-minta-sawit-jadi-komoditas-strategis/#.Vlf3Ml5na1s

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