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1
Indriyadi, Wahyu. "Palm Oil Plantation in Indonesia: A Question of Sustainability." Salus Cultura: Jurnal Pembangunan Manusia dan Kebudayaan 2, no. 1 (June 30, 2022): 1–10. http://dx.doi.org/10.55480/saluscultura.v2i1.40.
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The soaring price of cooking oil and the shortage of supply in Indonesia since December 2021 have brought the Indonesian palm oil industry back into the spotlight. Indonesia is one of the largest palm oil producers in the world. Although oil palm plantations are recognized as having a major role in alleviating poverty in Indonesia, there is a lot of controversy surrounding the Indonesian palm oil industry, both in terms of poverty alleviation itself and in terms of environmental damage it caused. Using exploratory qualitative method, this paper argues that the palm oil industry controversy stem from different eco-centric and technocentric views of producer and importer countries on how to achieve sustainable agriculture. Using Indonesia as a case, the results shows that arguing palm oil’s role in alleviating poverty and efforts in reducing environmental impact in Indonesia is not enough to quell palm oil industry controversies. The existing sustainability certification system such as RSPO and ISPO are seen as a technocentric solution that is ineffective and inadequate, whereas eco-centric unclear concept of sustainability and the complexity of the palm oil industry production chain is seen as contradictive. The results shows Indonesia needs to further strengthen its perspective on sustainability with more openness of data and improvement of systems in order to overcome the polarization of the narrative that has grown distrust of the palm oil industry. Negative sentiment toward the palm oil industry will not only harm Indonesia's socio-economic status but can also harm the environment, because importing countries may have to abandon palm oil even though they yet have an alternative that is more sustainable than palm oil.
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Nugraha, M. Fuadillah. "Analisis Strategi Perlawanan Indonesia Dalam Diskriminasi Kelapa Sawit Oleh Uni Eropa." Al-Adalah: Jurnal Hukum dan Politik Islam 6, no. 1 (June 14, 2021): 88–105. http://dx.doi.org/10.35673/ajmpi.v6i1.1458.
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This study aims to determine how Indonesia's resistance strategy in oil palm discrimination by the European Union. Researchers use the perspective of liberalism and idealism, and the basic assumptions are peace and war avoidance. The results show that EU discrimination against Indonesian CPO products requires players in the palm oil industry and the Indonesian government to work together to design and develop intensive diplomatic efforts aimed at the EU government and its people. The Indonesian government's efforts to oppose the EU's incentives for the use of palm oil are 1) filing claims and challenges against the EU incentives to reject palm oil restrictions, 2) The Indonesian government emphasizes the importance of distributing Indonesian palm oil globally 3) Lobbying the leadership of the APEC organization to ensure the safety of Indonesia's palm oil industry 4) Undertake Join Capaign efforts by the world's largest palm oil producer to protect the stability of palm oil shipments and take action against negative campaigns against palm oil, and unite voices in drafting an agreement to jointly support industrial development palm oil to be more resilient against the global backlash on palm oil.
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Atikah, Atikah, Sumaryoto Sumaryoto, and Darwati Susilastuti. "Pengaruh Luas Lahan dan Produksi CPO Terhadap Pertumbuhan Industri Kelapa Sawit Indonesia Tahun 2000-2020." eCo-Buss 5, no. 1 (August 10, 2022): 338–48. http://dx.doi.org/10.32877/eb.v5i1.479.
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This study aims to analyze the effect of economic indicators including land area and palm oil (CPO) production on the growth of the palm oil industry in Indonesia. Data on land area variables includes all land planted with oil palm, both smallholder plantations, large state plantations and large private plantations. This study uses secondary data with a time span of 21 (Twenty One) years, namely from 2000-2020. The method used in this research is descriptive and verification method with a quantitative approach. The population of this study includes the six largest palm oil producing provinces in Indonesia, namely Riau, Central Kalimantan, West Kalimantan, North Sumatra, East Kalimantan and Jambi. Thus, the sample size used in this study is 6 provinces times 21 years, namely 126 panel data samples using the Random Effect Model (REM) model. This study uses data processing software Eviews 12. The results of this study indicate that the variables of land area and production of palm oil (CPO) together have a positive and significant effect on the growth of the Indonesian palm oil industry. If tested partially, the area of ????oil palm plantations is significant and has a positive influence on the growth of the Indonesian palm oil industry. However, CPO production has a negative effect on the growth of the Indonesian palm oil industry.
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Ichlas El Qudsi, Mohammad, Indra Kusumawardhana, and Volodymyr Kyrychenko. "The Garuda Strikes Back : Indonesian Economic Diplomacy to Tackle European Union Protectionism on Crude Palm Oil." Journal of International Studies on Energy Affairs 1, no. 2 (December 20, 2020): 110–35. http://dx.doi.org/10.51413/jisea.vol1.iss2.2020.110-135.
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Abstract This paper analyzes Indonesia's economic diplomacy in overcoming trade barriers to Indonesian palm oil commodities carried out by the European Union. Until now, the Indonesian Crude Palm Oil (CPO) industry has experienced tremendous pressure from the European Union (EU) as one of the main export destinations for Indonesian CPO. In order to secure Indonesia's national interests, instead of taking a cooperative approach, the Indonesian government has responded to the EU's discriminatory attitude towards palm oil commodities with a series of assertive economic diplomacy approaches. This assertive economic diplomacy approach is understood by this paper as a form of the “Power-Play End” strategy articulated by Indonesia to secure its national interests in mainland Europe. The main question in this paper is how can Indonesia use this strategy in overcoming trade barriers imposed by the EU on palm oil commodities? Using the concept of Economic Diplomacy which emphasizes three elements, namely the use of political influence and relations, the use of economic assets, the consolidation of the political climate and the international environment - this paper will examine Indonesia's economic diplomacy in related issues. Key Words: Palm Oil, Economic Diplomacy, Trade Barriers, Indonesia, European Union
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Sasmi, Dini Tiara. "INDONESIA GOVERNMENT'S EFFORT TO FACE EU DIRECTIVE REGULATION CONCERNING PALM OIL IN EUROPE." Frequency of International Relations (FETRIAN) 1, no. 2 (January 17, 2020): 262–84. http://dx.doi.org/10.25077/fetrian.1.2.262-284.2019.
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This article describes Indonesian Government effort dealing with new regulation in European Union, namely EU Directive which prohibit palm oil use for biodiesel. The European Commission has concluded in a regulation that palm oil use in biofuels will be reduced to zero by 2030. This regulation is based on allegations against oil palm plantation that causes excessive environmental damage. Environmental issues that arise as a result of the growing awareness of the international community in preserving the earth are often contrary to the wishes of a country in developing its economy. Campaigns from environmental activists in Indonesia highlight a lot about the palm oil industry which is often considered not sustainable and causes environmental damage. On the other hand, this campaign caused a negative reputation followed by the decline of Indonesia's palm oil exports to Europe. One of the regulations that arose was the EU Directive which was considered by the Indonesian government as discrimination against oil palm products and their derivatives. This article uses a qualitative analysis method. This study aims to analyze how the Indonesian government responds to the EU Directive regulation on Palm Oil which is considered detrimental to Indonesia's palm oil exports to Europe.
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Sylvia, N., W. Rinaldi, A. Muslim, H. Husin, and Yunardi. "Challenges and possibilities of implementing sustainable palm oil industry in Indonesia." IOP Conference Series: Earth and Environmental Science 969, no. 1 (January 1, 2022): 012011. http://dx.doi.org/10.1088/1755-1315/969/1/012011.
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Abstract Indonesia has emerged into the largest palm oil-producing nation in just a few decades, leaving Malaysia behind. Undeniably, palm oil has substantially contributed to the country’s economic development. Nonetheless, it comes with refutation for deforestation, environmental degradation, and social tensions, are also evident. The palm oil industry has been recognized as one of the major producers of greenhouse gases, including CO2. The Government of Indonesia (GOI) is committed to maintaining the palm oil industry, despite the strain of the European Union, as millions of workers depend on these industries for their livelihoods. The GOI requests that each palm oil firm pursue the Indonesian Sustainable Palm Oil (ISPO) certification regarding the adverse impacts. Around 20% of the country’s entire palm oil industry has received an ISPO certificate. By 2023, all palm oil companies must be ISPO accredited, as this regulation is compulsory. By reducing CO2 and other greenhouse gasses, implementing all the ISPO guidelines in the palm oil industry will support the industry and protect the environment. This paper will review the implementation of sustainable Indonesia’s palm oil industry under the current situation, corresponding with ISPO and RSPO (Roundtable Sustainable Palm Oil).
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Wardhani, Ratna, and Yan Rahadian. "Sustainability strategy of Indonesian and Malaysian palm oil industry: a qualitative analysis." Sustainability Accounting, Management and Policy Journal 12, no. 5 (May 17, 2021): 1077–107. http://dx.doi.org/10.1108/sampj-07-2020-0259.
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Purpose Global palm oil production is growing rapidly, especially in Southeast Asia, with Indonesia and Malaysia as the biggest producers. Despite significant contributions to these countries’ economies, environmental and social aspects continue to be debated within this industry. The sustainability strategy is very important for the palm oil industry. This study aims to explore the sustainability strategy using six elements, namely, stakeholder engagement, governance and leadership, sustainability view and the economic, environmental and social strategies of Indonesian and Malaysian palm oil companies. Design/methodology/approach This study observes 21 Indonesian palm oil companies and 44 Malaysian palm oil companies from 2014 to 2018 with a total observation of 280 firm years. The methodology used in this study is a qualitative content analysis of six themes based on the sustainability strategy elements, which was further developed into 40 indicators. Content analysis is carried out on information published in annual reports and sustainability reports. Findings The study results indicate that stakeholder engagement, governance and leadership and strategic view of the palm oil companies in Indonesia and Malaysia are still likely to be weak. Palm oil companies have not demonstrated their focus on implementing economic, environmental and social strategies. Although the results indicate that there is a greater emphasis on environmental and social strategies than on economic issues, attention to both issues is still very low. Practical implications Palm oil companies need to integrate sustainability strategies in their business models and communicate them well to stakeholders to increase their competitive advantage in the palm oil industry. The government also needs to issue stricter rules and incentives to encourage companies to implement sustainability strategies. Social implications The study results provide implications for the communities around palm oil plantations to provide better social control so that companies can implement sustainability strategies in their business processes. Originality/value This study highlights the importance of sustainability practices integrated into palm oil companies’ business models, which have not been well implemented in the palm oil industry in the world’s largest producing countries.
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Firdaus, Alfa, and M. Syamsul Ma’arif. "CREATING THE STANDARD FOR SPECIFIC ENERGY CONSUMPTION AT PALM OIL INDUSTRY." SINERGI 20, no. 1 (February 1, 2016): 9. http://dx.doi.org/10.22441/sinergi.2016.1.002.
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There is currently no standard for the Specific Energy Consumption (SEC) in the palm oil industry. SEC is a value that can be used as an indicator to measure the optimization level in the use of energy. Indonesia as one of the largest palm oil producing countries requires a standard for energy intensity in the palm oil industry. SEC in palm oil mill is defined in the amount of energy per unit of production (kWh/kg). The classifying method that has been used in this study is K-means cluster analysis with the measurement samples in 14 palm oil mills for 12 months of period. This study has suggested the SEC standard for Indonesian palm oil industry and it is expected to be SEC reference for other studies in the palm oil industry.
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Purba, Helena Juliani, Bonar Marulitua Sinaga, Tanti Novianti, and Reni Kustiari. "Dampak Kebijakan Perdagangan terhadap Pengembangan Industri Biodiesel Indonesia." Jurnal Agro Ekonomi 36, no. 1 (September 19, 2018): 1. http://dx.doi.org/10.21082/jae.v36n1.2018.1-24.
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<strong>English</strong><br />Indonesian government has been promoting development of palm oil based biodiesel industry through the so-called biodiesel mandatory policy. Biodiesel is a renewable energy and low emission. Palm oil and its derivative products are the most important contributors of foreign exchange in 2017. Trade policy is required to accelerate the achievement of biodiesel industry development in Indonesia. The study is intended to analyze the impacts of trade policy (export tax by Indonesian government and import restriction by the European Union) on the development of Indonesia’s biodiesel industry. The analysis used econometrics model in the form of simultaneous equations system consisting of 27 structural and 9 identity equations, estimated using the 2SLS (Two Stage Least Squares) method. This research used annual time series data 1991–2015. The result shows that both the export tax policy by Indonesian government and palm oil import ban by European Union have positive impacts on Indonesia's biodiesel industry but do have negative impacts on the foreign exchange revenues. The negative impacts on foreign exchange revenues can be avoided by replanting policy. Whenever the European Union imposes palm oil import ban policy; then, it is suggested that Indonesian government imposes the domestic market obligation and replanting policy. <br /><br /><br /><strong>Indonesian</strong><br />Indonesia sedang melakukan upaya pengembangan biodiesel yang bersumber dari minyak sawit dalam kebijakan mandatori biodiesel. Biodiesel adalah sumber energi terbarukan dan rendah emisi. Minyak sawit dan produk turunannya adalah penyumbang devisa negara terbesar pada tahun 2017. Kebijakan perdagangan diperlukan untuk mempercepat pencapaian pengembangan industri biodiesel Indonesia. Penelitian ini bertujuan untuk menganalisis dampak kebijakan perdagangan (pajak ekspor oleh pemerintah Indonesia dan pembatasan impor oleh Uni Eropa) terhadap pengembangan industri biodiesel Indonesia. Analisis menggunakan model ekonometrik dalam bentuk sistem persamaan simultan terdiri dari 27 persamaan struktural dan 9 persamaan identitas yang diestimasi dengan metode Two Stage Least Squares (2SLS) menggunakan data series tahunan 1990–2015. Hasil penelitian memperlihatkan bahwa kebijakan pajak ekspor oleh pemerintah Indonesia maupun larangan impor oleh Uni Eropa berdampak positif bagi perkembangan industri biodiesel Indonesia, namun berdampak negatif terhadap penerimaan devisa Indonesia. Dampak negatif terhadap penerimaan devisa dapat diatasi dengan kebijakan peremajaan kelapa sawit (replanting). Manakala Uni Eropa melakukan pelarangan impor minyak sawit, maka disarankan Pemerintah Indonesia menerapkan kebijakan domestic market obligation dan replanting.
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DEWI, Cynthia Sari, Brighton JORDY, and Harris WIJAYA. "DETERMINANTS OF CAPITAL STRUCTURE: EVIDENCE FROM INDONESIAN PALM OIL COMPANIES." BUSINESS EXCELLENCE AND MANAGEMENT 11, no. 4 (December 15, 2021): 50–63. http://dx.doi.org/10.24818/beman/2021.11.4-04.
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This study to find out the determinants of capital structure in the palm oil industry in Indonesia. The variables are commodity prices, total assets, tangible assets, profitability, asset turnover, liquidity, inventory turnover, interest rates, and capital structure as independent variables. The data processing uses SPSS version 25 and performs classical assumption test, coefficient of determination test, and multiple regression analysis. The object of this study is oil palm plantation companies listed in Indonesian stock exchange (IDX) period 2016 to 2019. The results show that CPO prices, total assets, tangible assets, profitability, and interest rates have no effect on capital structure. Meanwhile, asset turnover has a positive effect on capital structure. Current ratio has a negative effect on the capital structure. Inventory turnover has a negative effect on the capital structure of oil palm plantation companies. This research is useful for companies engaged in the palm oil industry in determining policies.
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Yahya, Glory Yolanda`, and Desri Gunawan. "STRATEGY OF INDONESIA GOVERNMENT TO MANTAINS PALM OIL MARKET IN INDIA." Andalas Journal of International Studies (AJIS) 8, no. 1 (June 29, 2019): 75. http://dx.doi.org/10.25077/ajis.8.1.75-87.2019.
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This study aims to determine the factors cause a decrease market share of Indonesia palm oil in India and its implications, and to know the Indonesia government’s strategy maintains the palm oil market in India. The method used is descriptive analysis using theory of competitive adventage diamond model of Michael Porter and Development state theory. The scope of study between 2010 and 2015. The results showed that cause of the decline in the market share of Indonesia palm oil in India due to the application of duty Crude Palm Oil (CPO) is higher than its derivative products in Indonesia, Increased demand for Malaysia palm oil by India and development of palm oil industry in India. The implications of this decline include the loss of potential tax revenue and export volume of palm oil as well as disrupt the Indonesia palm oil industry. Strategy by the Indonesia government is implementing Crude Palm Oil (CPO) Supporting Fund (CSF), Indonesia Trade Promotion Center (ITPC) Chennai (India) and Palm Oil Industrial Cluster. Strategy Indonesia government maintains the palm oil market in India has shown a positive effect. Although some parts are not running perfectly. The government as a stimulant to increase competitiveness of Indonesia palm oil is felt has done its job as it should. Futhermore, this strategy can be continued with evaluation and continuous improvement. Keyword: India, Export Palm Oil, Competitive Advantage, Development State, Crude Palm Oil (CPO) Supporting Fund (CSF). Indonesian Trade Promotion Center (ITPC) Chennai, Oil Palm Industry Cluster (KIKS)
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Hartoyo, Sri, Eka Intan K.P., Novindra Novindra, and Hastuty Hastuty. "Dampak Kenaikan Harga Minyak Bumi terhadap Ketersediaan Minyak Goreng Sawit Domestik." Jurnal Ekonomi dan Pembangunan Indonesia 11, no. 2 (January 1, 2011): 169–79. http://dx.doi.org/10.21002/jepi.v11i2.188.
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This paper attempts to examine the impact of rising fossil fuel prices on the increasing impact on the demand of alternative fuels (biofuels), and its impact on food availability in Indonesia. An econometric model using simultaneous equations is employed. An increase in world crude oil price for 0,192 percent caused the price of real Indonesian palm oil export raised by 10,64 percent. Consequently, a larger biodiesel production is needed to meet their crease of world's consumer demand for biodiesel. Also, with the increase in real export price of Indonesian palm oil, it will encourage palm oil producers to push their export volume. Indonesian palm oil exporter expected to increase by 6,37 percent to finally push the domestic CPO price increase for 1,85 percent. Rising domestic oil prices are causing oil demand in the palm oil industry to decline by 0,49 percent and in the end resulting in the decline of palm oil production by 1,56 percent.
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Suroso, Arif Imam, Hansen Tandra, Yusman Syaukat, and Mukhamad Najib. "The issue in Indonesian palm oil stock decision making: Sustainable and risk criteria." Decision Science Letters 10, no. 3 (2021): 241–46. http://dx.doi.org/10.5267/j.dsl.2021.4.001.
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The palm oil industry has a strategic role in economic development in Indonesia, especially in alleviating poverty and creating other businesses that can support the industry. Operational activities in the palm oil industry are closely related to environmental issues (deforestation, land-use change, and air pollution) and social conflict. The certification program is an effort for the palm oil industry to implement sustainable development. The certified palm oil industry will increase industrial profitability in the long run to increase investor interest in the future. The decision to choose palm oil industry stocks that carry out sustainable practices and generate maximum returns is an exciting issue, but how investors can choose the right stocks and the minimum risk level. This study aims to apply the decision-making model to choose the optimal stock in the palm oil industry, which involves sustainable certification and risk criteria. The method used in this study was the Preference Ranking Organization Method for Enrichment Evaluation (PROMETHEE) based on the Indonesia Stock Exchange (IDX) data. Determinants of stock selection decisions from previous research are considered criteria for decision making. Through the PROMETHEE method, a list of the rankings of the oil palm industry shares can be generated. The sustainable certification and risk criteria can be used as a reference for relevant stakeholders such as investors. Further studies need to be developed by adding non-financial criteria in the firm and developing the criteria to differentiate each other.
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Suroso, Arif Imam, Hansen Tandra, and Indra Wahyudi. "The Determinant of Sustainable Certification Adoption in Indonesia Palm Oil Industry." International Journal of Sustainable Development and Planning 17, no. 3 (June 2, 2022): 1001–6. http://dx.doi.org/10.18280/ijsdp.170331.
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The palm oil industry operational causes several debate, especially in environmental and social problems. Roundtable on Sustainable Palm Oil (RSPO) is presented as the institution that oversees sustainable development through the sustainable certification issued. The motivation of the adoption recently from the public pressure for palm oil companies to adopted this certification. However, this pressure is only the external factor to driven the sustainable development in palm oil companies. The internal factor from palm oil industry have not observed as the adoption of sustainable certification. Therefore, the purpose of this study is to examine the factors that affected the adoption of sustainable certification in oil palm companies by using binary logistic regression. We examined 14 financial reports of the Indonesia palm oil companies that go-public from 2014 until 2019. The results show that Return on Assets (ROA), Current Ratio, Firm Size, and Oil Extraction Rate (OER) not affect the adoption of RSPO. However, the Return on Equity (ROE), Debt to Equity Ratio (DER), and Export significantly influence the RSPO adoption by Indonesian palm oil companies. The internal factor, specifically in financial aspects be the main driver for adopting the sustainable certification. Therefore, the promotion of sustainable certification must lead on the growth of finance performance to maintain this adoption. The limitation of this research is only focused to listed palm oil companies in Indonesia.
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Y H Silitonga, Roland, Joko Siswanto, Tota Simatupang, and Senator Nur Bahagia. "Modeling policy mix to improve the competitiveness of Indonesian palm oil industry." Journal of Industrial Engineering and Management 9, no. 1 (April 3, 2016): 231. http://dx.doi.org/10.3926/jiem.1582.
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Purpose: The purpose of this research is to develop a model that will explain the impact of government policies to the competitiveness of palm oil industry. The model involves two commodities in this industry, namely crude palm oil (CPO) and refined palm oil (RPO), each has different added value. Design/methodology/approach: The model built will define the behavior of government in controlling palm oil industry, and their interactions with macro-environment, in order to improve the competitiveness of the industry. Therefore the first step was to map the main activities in this industry using value chain analysis. After that a conceptual model was built, where the output of the model is competitiveness of the industry based on market share. The third step was model formulation. The model is then utilized to simulate the policy mix given by government in improving the competitiveness of Palm Oil Industry. Research limitations/implications: The model was developed using only some policies which give direct impact to the competitiveness of the industry. For macro environment input, only price is considered in this model. Practical implications: The model can simulate the output of the industry for various government policies mix given to the industry. Originality/value: This research develops a model that can represent the structure and relationship between industry, government and macro environment, using value chain analysis and hierarchical multilevel system approach.
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Siregar, Kiman, Supriyanto, Dwi Susanto, Arief AR Setiawan, Intan Sofiah, and Solihati. "Development Software to Evaluate Environmental Impact for Palm Oil (Elaeis guineensis Jacq) Industry using Life Cycle Assessment Approach in Indonesia." IOP Conference Series: Earth and Environmental Science 1038, no. 1 (June 1, 2022): 012010. http://dx.doi.org/10.1088/1755-1315/1038/1/012010.
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Abstract Palm oil in Indonesia are producing the Crude Palm Oil (CPO) with the highest export in the world. CPO production in Indonesia are increasing from 17,77 million to 31,49 million tons from 2013 to 2013 and still increases. Currently Indonesian government projected to use palm oil as source to produce biodiesel to replace the fossil fuel. However, to evaluate the production of biodiesel from palm oil should consider the environmental aspect. Life cycle assessment are appropriate tools to evaluate the overall productions environmental impact in palm oil industry. In this research, we proposed a software to life cycle assessment application in palm oil industry in Indonesia. The method was used in this study are prototyping that consist of the iteration analysis, design, coding and testing. The result of this study was the software to evaluate the environmental impact using life cycle assessment approach. Software was able to perform life cycle assessment activity such as goal scope definition, inventory data, life cycle impact assessment and interpretations.
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Mardiharini, M., D. H. Azahari, R. M. Chaidirsyah, and K. Obaideen. "Palm oil industry towards Sustainable Development Goals (SDGs) achievements." IOP Conference Series: Earth and Environmental Science 892, no. 1 (November 1, 2021): 012068. http://dx.doi.org/10.1088/1755-1315/892/1/012068.
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Abstract Gender Equality in Sustainable Development Goals (SDGs) has been exclusively developed but, most of our current economies and societies are not able to fully contribute or equally benefit from them. When zooming in, women are generally more excluded than men. Indonesia as the leading of palm oil producing country and given the vital role that women and girls play in the management, care, and use of Palm Oil, the Gender Equality and Social Inclusion (GESI) framework is important to review. This paper aims to review the performance of GESI framework in the Indonesian palm oil sector and links the discussion with SDG 5 (Gender Equality) using qualitative methods, which data and information have been collected through observation, key informant interviews and secondary data. The framework focus on the marginalized groups. The results show that the palm oil industry can improve the gender equality and inclusivity for creating economically, socially, and environmentally sustainable palm oil supply chains and sectors. We need roll out the Gender Assessment to map out the actual roles, inclusivity and involvement of women in the respective area.
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Widyatmoko, Bondan. "Exploring the European Union Renewable Energy Directive and its Implications for Indonesias Palm Oil Industry." Journal of Indonesian Social Sciences and Humanities 5, no. 1 (October 5, 2017): 27–38. http://dx.doi.org/10.14203/jissh.v5i1.24.
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The Renewable Energy Directive (RED) is a vehicle for environmental NGOs concerned about biodiversity destruction in Indonesia, for European biodiesel producers to admit new competitors, and for European Union (EU) interests to build a secure and sustainable economy for their region. In other words, it is a manifestation of the di?erent interests of many agencies that share grace and favour over palm oil development in the EU. By observing the RED as the vehicle and the EU system of governance as its course, this paper records the interactions between those agencies in shaping the policy. The observations allow for agencies contributions to the images of palm oil. It depicts that biodiversity destruction is the basis for the sustainability criteria in the RED but it was not the only cause of the slowing down in the pace of the Indonesian palm oil market penetration in the region. To some extent, the RED is considered a trade barrier for Indonesian palm oil. However, the RED is an incentive to strengthen the image of the palm oil industry in a more constructive way and ensure the longevity of the industry.
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Raharja, Sapta, Setiadi Djohar, and Dwi Aryanthi. "Development Strategy of Indonesian Palm Oil Industrial Cluster Based International Trade Connectivity." International Journal of Oil Palm 2, no. 2 (December 15, 2021): 31–38. http://dx.doi.org/10.35876/ijop.v2i2.59.
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Indonesia is the largest producer and the exporter of palm oil in the world which has three palm oil industrial cluster (POIC) areas that are Sei Mangkei (North Sumatera), Dumai (Riau), and Maloy (East Kalimantan). To carry out the delivery of palm oil products to the destination countries, the Palm oil from the three POICs must be transshipment in Malaysia and Singapore. In line with this issues, a strategy to develop the POIC based international connectivity need to be done. This study aims to identify the actual conditions of POIC Indonesia, to determine the factors (internal and external) that influence the development of POIC, and to formulate priority strategy for developing POIC Indonesia. These are needed so that Indonesia can become a hub port of international trade especially in Asia. This research uses "Diamonds" Porter’s Model, gap analysis, and the Analytical Hierarchy Process (AHP). Based on the analysis connectivity, the main strategy that can be formulated in order to develop Indonesian palm oil industry cluster is infrastructure improvements. This strategy can be done if the government (the Ministry of economy, Ministry of industry and trade, Ministry of sea, PT PELINDO, and local government), private sector, academic, and the public is able to work together and integrated.
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Raharja, Sapta, Setiadi Djohar, and Dwi Aryanthi. "Development Strategy of Indonesian Palm Oil Industrial Cluster Based International Trade Connectivity." International Journal of Oil Palm 4, no. 2 (December 15, 2021): 31–38. http://dx.doi.org/10.35876/ijop.v4i2.59.
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Indonesia is the largest producer and the exporter of palm oil in the world which has three palm oil industrial cluster (POIC) areas that are Sei Mangkei (North Sumatera), Dumai (Riau), and Maloy (East Kalimantan). To carry out the delivery of palm oil products to the destination countries, the Palm oil from the three POICs must be transshipment in Malaysia and Singapore. In line with this issues, a strategy to develop the POIC based international connectivity need to be done. This study aims to identify the actual conditions of POIC Indonesia, to determine the factors (internal and external) that influence the development of POIC, and to formulate priority strategy for developing POIC Indonesia. These are needed so that Indonesia can become a hub port of international trade especially in Asia. This research uses "Diamonds" Porter’s Model, gap analysis, and the Analytical Hierarchy Process (AHP). Based on the analysis connectivity, the main strategy that can be formulated in order to develop Indonesian palm oil industry cluster is infrastructure improvements. This strategy can be done if the government (the Ministry of economy, Ministry of industry and trade, Ministry of sea, PT PELINDO, and local government), private sector, academic, and the public is able to work together and integrated.
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Nurliza, Nurliza, and Eva Dolorosa. "Effect Relationships on Sustainable Development of Palm Oil Production for Independent Smallholder Farmers toward Sustainable Certification System." Journal of Sustainable Development 10, no. 1 (February 3, 2017): 24. http://dx.doi.org/10.5539/jsd.v10n1p24.
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Palm oil is currently the most widely used vegetable oil in the world and its usage is also expected to double by 2020. However, there are some social and environmental impacts of palm oil plantation. Some complications resulted from the plantation may go as far as mass objections to the production of palm oil. On the contrary, demand for palm oil is still vast and constantly rising. In Indonesia, independent small farmers are the most important stakeholders since they are 43% of the whole Indonesian palm oil producers and have become the biggest spotlight of Indonesian palm oil development, including challenges and problems in which they will have to face to substantially increase their role in the global market as well as maintaining sustainability. Challenges today need to be engaged with innovation and inventions in a more productive and effective way. Enhancing independent small farmers will not only enlarge their contribution to sustainability practices, but also ensuring the sustainable products supplied to the market. Thus, supporting sustainable palm oil production is the way forward. Based on this current issue, this research identifies key point relationships (direct and indirect) on sustainable development factors which are based on Indonesian Sustainable Palm Oil Certification System (ISPO), these identified key points will be the primary target to be improved and government support in fostering the sustainability of palm oil industry will be profoundly necessary.
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Soleha, Nurhayati, and Rita Rosiana. "Exploring Sustainability Reports in The Indonesian Palm Oil Industry." Journal of Applied Business, Taxation and Economics Research 1, no. 1 (October 1, 2021): 77–94. http://dx.doi.org/10.54408/jabter.v1i1.23.
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The purpose of this study is to assess the quality and maturity of sustainability reports of palm oil companies listed on the Indonesia Stock Exchange (IDX). The findings indicate that there are few differences in the maturity levels of palm oil companies in implementing sustainability reporting based on GRI standards and the maturity sustainability reporting at a moderate level of relevant information. The majority of disclosure of sustainability reports is general disclosures and less present in economic and environmental disclosures. Companies need to improve the quality of their sustainability reporting and strengthen the validity of the measurement. Sustainability reports have the potential to improve the sustainability agenda by allowing management and shareholders to make more informed decisions about sustainability initiatives.
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Aryani, Adriana Sari, Yulian Syahputri, and Hermawan Hermawan. "VALUE CHAIN PALM OIL INDUSTRY ANALYSIS ON THE POLYOL POLYESTER PATHWAY." IJTI (International Journal of Transportation and Infrastructure) 2, no. 2 (April 17, 2019): 105–16. http://dx.doi.org/10.29138/ijti.v2i2.964.
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Palm oil is one of important Indonesia's export commodities. In 2017, the export value of palm oil and its derivatives (excluding oleochemicals and biodiesel) penetrated US $ 22.97 billion. The bright prospect of the palm oil commodity in the world vegetable oil trade encouraged the Indonesian government to develop an integrated palm oil industry. On the other hand, some downstream petrochemical products have begun to experience difficulties in raw materials, including Polyurethane. Polyurethane is a polymeric material from polyols and isocyanates which are widely used as packaging. Polyol itself is a polyether produced from the petroleum fraction. The polyol industry can be developed in the industrial tree branch of glycerol / glycerin in the large palm oil industry tree. Glycerin is generally the most end product of the palm oil fractionation industry, after cooking oil, margarine, shortening, and soap. In addition, glycerin is also a by-product of fatty acid esterification during biodiesel production. The value chain analysis carried out in the palm oil industry chain shows that polyol production has added new pathways that can extend the palm oil downstream industry chain. Analysis carried out on the main chain and the combined oil palm industry chain has been successfully used to map the polyol industry value chain on the palm oil track. The extension of the palm oil industry value chain on the polyol industry pathway can unite the industry with the chain of production of the petrochemical industry, in this case polyurethane, which at least can help substitute raw materials. A more detailed analysis of the perceptions of the role of the polyol industry in two directions, namely the palm oil industry chain with the polyurethane industry shows that there is a very large intersection of interests. Almost all perceptions of the role of key value chain activities in the polyurethane industry can be covered by the role of the value chain main activities in the palm oil polyol industry. Both value chains can be said to complement and complement each other. The production of polyester polyols can be absorbed by the needs of the polyurethane industry.
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Chalil, Diana, Riantri Barus, Ester Sorta Mauli Nababan, Pramio Garson Sembiring, Hasanuddin, Rudy Sofyan, and Tulus. "The Environmental Impact of Palm Oil: Introduction for Students of Tasmania University, Australia." Journal of Saintech Transfer 3, no. 2 (January 9, 2021): 129–36. http://dx.doi.org/10.32734/jst.v3i2.3953.
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Palm oil is one of the most demanded commodities globally, which has led to a significant increase in its production and raised issues regarding its environmental impact. However, many of these issues are not based on substantial evidence. To provide a proportional picture on the oil palm industry, Universitas Sumatera Utara (USU), the University of Tasmania (UTAS) and the Association of Indonesian Palm Oil Entrepreneurs (GAPKI) have collaborated to carry out this program. The program was conducted for seven days through classroom lectures and field trip activities, involving 14 students and two supervisors from UTAS and four USU students. Pre and post-tests were conducted to evaluate the impact of the program. The results showed changes in participants' knowledge and perception regarding the environmental, social, and economic effects of the oil palm industry. Therefore, this program could be considered an effective counter to misleading Indonesian palm oil industry issues.
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Chalil, Diana, Riantri Barus, Ester Sorta Mauli Nababan, Pramio Garson Sembiring, Hasanuddin, Rudy Sofyan, and Tulus. "The Environmental Impact of Palm Oil: Introduction for Students of Tasmania University, Australia." Journal of Saintech Transfer 3, no. 2 (January 9, 2021): 129–36. http://dx.doi.org/10.32734/jst.v3i2.3953.
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Palm oil is one of the most demanded commodities globally, which has led to a significant increase in its production and raised issues regarding its environmental impact. However, many of these issues are not based on substantial evidence. To provide a proportional picture on the oil palm industry, Universitas Sumatera Utara (USU), the University of Tasmania (UTAS) and the Association of Indonesian Palm Oil Entrepreneurs (GAPKI) have collaborated to carry out this program. The program was conducted for seven days through classroom lectures and field trip activities, involving 14 students and two supervisors from UTAS and four USU students. Pre and post-tests were conducted to evaluate the impact of the program. The results showed changes in participants' knowledge and perception regarding the environmental, social, and economic effects of the oil palm industry. Therefore, this program could be considered an effective counter to misleading Indonesian palm oil industry issues.
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Suwarno, Windratmo. "The Challenge of Indonesian Diplomacy Against Palm Oil Discrimination." Jurnal Ilmiah Hubungan Internasional 15, no. 2 (December 19, 2019): 197–212. http://dx.doi.org/10.26593/jihi.v15i2.3416.197-212.
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ABSTRACTIndonesia will continue to face a discrimination of palm commodity in European Union in the next decade. The challenge the European black campaign against palm oil is not easy to overcome. Most of European people have a bad perception about palm oil. The issue of palm oil is not only about the forestation, but also it is influenced by bad perception on health and social impact. It is a time for Indonesian diplomacy to make a strategy to resolve this issue by improving public diplomacy through lobbying, corporate diplomacy and identification of stakeholders. Although in the European Parliament statement does not mention the elimination of palm oil, discrimination against palm oil will continue in the trilogy. Palm oil must face accusations from various interested parties such as NGOs and members of parliament who have relations with farmers in Europe. They have a strategy to phase out using palm oil for biofuels. The issue of palm oil is not only about a battle of the vegetable industry anymore, but it is more about politics to defend other vegetable oil in the market by disseminating any kind issues related to oil palm plantation. It must be deal with the total diplomacy taken by all stakeholders in Indonesia and in Europe. Key words: oil palm, public diplomacy, biofuels, European Parliament
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Amzul, Rifin. "The Contribution of Palm Oil Industry to Indonesian Economy." Input-Output Analysis 20, no. 1 (2012): 72–83. http://dx.doi.org/10.11107/papaios.20.72.
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Meilan, Tria Mutiari, Sapta Raharja, and Muhammad Syamsun. "Analisis Manajemen Risiko Lingkungan, Sosial dan Tata Kelola pada Usaha Budidaya dan Pengolahan Kelapa Sawit (Studi Kasus: PT PP London Sumatra Tbk)." MANAJEMEN IKM: Jurnal Manajemen Pengembangan Industri Kecil Menengah 13, no. 1 (April 9, 2018): 46. http://dx.doi.org/10.29244/mikm.13.1.46-54.
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Palm oil (Elaeis guineensis Jacq.) is one of the main commodities in Indonesia . The production of Crude Palm Oil (CPO) and Palm Kernel Oil (PKO) in Indonesia has increased significantly in recent years. The palm oil industry is often accused of causing environmental degradation because some of the cultivation and processing practices are suspected to cause greenhouse gas emissions. The Government has implemented the obligations of certification of Indonesia Sustainable Palm Oil (ISPO) in accordance with the Government of Indonesia's commitment to improve the sustainability of the Indonesian palm oil industry. The objectives of this research are (1) To identify and analyze the impact of risk on environment, social and governance (ESG Risk) at each stage of oil palm cultivation and processing. (2) To identify and analyze the level of readiness to fulfill ISPO requirements (3). Determine the recommendations of risk control in the cultivation and processing of oil palm. The method used in this research is descriptive and analytic method which is a case study. Results of analysis at PT. London Sumatra (Lonsum) especially at Arta Kencana Estate, Lahat, South Sumatera which was not ISPO Certified yet, shows that there are 16 ESG risks and the highest is related to the preparation stage of the land area. Risk control recommended is Risk Avoidance. Arta Kencana Estate in general have fulfilled almost all of the requirements for compliance with required principles with an average index of 8.86. Arta Kencana Estate are need to complete and perform administrative improvements and requirements documents to be able to meet the gap. In this study found that the ESG risk on palm oil can be mitigated through the fulfillment of ISPO principles.
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Suroso, Arif Imam, Hansen Tandra, and Indra Wahyudi. "The Impact of Sustainable Certification on Financial and Market Performance: Evidence from Indonesian Palm Oil Companies." International Journal of Sustainable Development and Planning 16, no. 8 (December 30, 2021): 1495–500. http://dx.doi.org/10.18280/ijsdp.160810.
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The palm oil industry is a strategic sector that plays an important role for national economics. Although the palm oil industry's role and contribution are high, land clearing and operation are often associated with environmental and social issues. The sustainable certification was then developed to ensure that palm oil companies can continue to operate without involving environmental and social deprivation. The previous research related to the impact of a sustainable certification found several positive and negative impacts on palm oil companies' performance in general. Therefore, this study aimed to determine the impact of sustainable certification on Indonesia's palm oil companies' financial and market performance. This research focused on 14 palm oil companies in Indonesia that went public with an observation year between 2014 and 2019. Analysis through panel regression found that sustainable certification has no impact on Indonesia's palm oil companies' financial and market performance. The study could be a recommendation and justification for palm oil companies for consider to take a sustainable certification.
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Apriyanto, Mulono, Ali Azhar, KMS Novyar Satriawan Fikri, and Feni Puspitasari. "The Legality Of Cultivated Palm Oil, Research On The Readiness Of Small Holder Farmers In Indonesia To Produce Sustainable Palm Oil (ISPO) Is Reviewed." International Journal of Business, Law, and Education 3, no. 2 (May 9, 2022): 76–81. http://dx.doi.org/10.56442/ijble.v3i2.56.
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The Indonesian government is working to ensure the sustainability of the country's palm oil industry through the establishment of a sustainability standard called Indonesian Sustainable Palm Oil (ISPO) in presidential regulation no. 44 of 2020. The purpose of this study is to determine the value of smallholders' ability to comply with Indonesia Sustainable Palm Oil (ISPO) standards based on the legality of farmers' land in Indragiri Hilir. By comparing the legality of cultivated land applied by independent farmers, the audit method is used to conduct a quantitative descriptive analysis of conformity with ispo principles, criteria, and indicators. The legal status of smallholder farmers' land is incomplete, as the majority of oil palm plantations are located in KBK and the majority of land lacks a certificate but does have a letter of compensation.
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Kusrini, Elisa, and Rangga Primadasa. "Design of Key Performance Indicators (KPI) for Sustainable Supply Chain Management (SSCM) Palm Oil Industry in Indonesia." MATEC Web of Conferences 159 (2018): 02068. http://dx.doi.org/10.1051/matecconf/201815902068.
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This paper aims to design key performance indicators (KPIs) for evaluating sustainable supply chain management (SSCM) for palm oil processing industry in Indonesia. Supply chain sustainability is the management of environmental, social and economic impacts, and the encouragement of good governance practices, throughout the lifecycle of goods and services. The method in designing KPIs using a triangulation method, ie combining of theory (literature study) with field surveys and validate with the opinion of the expert (expert judgment) as well as compatibility with existing regulations (Indonesian sustainable palm oil / roundtable on sustainable palm oil). There are 29 proposed KPIs for measuring SCM’s sustainable palm oil in Indonesia based on literature and expert judgment. In order to obtain a more precise performance, then the importance level of KPI will be measured using Analytic Hierarchy Analysis (AHP) method. According to the preferences of some managers of palm oil using AHP method showed that the economic factor is the most dominant indicator (62,92%), followed by environmental (18,93%) and social factors (18,15%). In subsequent studies, the results of the KPIs will be used to measure the index of sustainability in the palm oil’s supply chain industry in Indonesia.
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Munadi, Ernawati. "PENURUNAN PAJAK EKSPOR DAN DAMPAKNYA TERHADAP EKSPOR MINYAK KELAPA SAWIT INDONESIA KE CINA (PENDEKATAN ERROR CORRECTION MODEL)." Buletin Ilmiah Litbang Perdagangan 1, no. 3 (February 6, 2018): 47–72. http://dx.doi.org/10.30908/bilp.v1i3.303.
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The palm oil Industry is an important sector in the Indonesian economiy as it is one of the country’s major export earners as well as food source for her population.Indonesia is the world second largest producer of palm oil after Malaysia, accounting for about 34% OF The world production in the year 2006. Indonesia is also the largest consumer of palm oil in the developing economies, in 2006. Indonesia consumed a total of 5.5 mn tonnes of palm oil. Of this amount 76.75% is comprised of frying oil. About 55% of the production is exported in the form of crude palm oil mainly to Asian countries primarily to India and China and Eruropean countries. Debate on Indonesia’s palm oil policy was stimulated by the sharp increase in cooking oil prices in 1994-1995 which resulted in the introduction of export tax rate on palm oil in order to maintain a certain level of domestic consumption.Using annual data for the period 1969-2006, an econometric approach mainly the error correction model. Was employed in this study This paper examines the impacts of reduction in export duty onthe import demand of Indonesian palm oil to China. The findings indicate that the quantity of palm oil exported to China is significantly influenced by changes in the soybean oil price, world palm oil price, Industrial Production Index (IPI) exchange rate and lagged of export demand of Indonesian palm oil to China by one year with the elasticity of 1,49, 1.47,0.24, 0.59, and 0.79, respectively. The coefficients for long run variables presented by the ECM are jointly not equal to zero.This result suggests that as a group, the long run variable (ECM) have influenced the changes in the export demand to China which is indicated by the significance of the coefficient. The simulation results suggest that the direct impact of reduction of export duty would increase the quantity exported to China. The Indonesia export to China from 95.36 thousand tones to 118,23 thousand tones.
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Ahmad, Mohammad Yusof, Kelly Kai Seng Wong, and Nitty Hirawaty Kamarulzaman. "Selected Factors Influencing China's Palm Oil Import Demand from Malaysia." AGRARIS: Journal of Agribusiness and Rural Development Research 8, no. 2 (December 28, 2022): 261–74. http://dx.doi.org/10.18196/agraris.v8i2.15511.
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The export of palm oil from Malaysia to China has declined since 2013, although the Malaysian Ringgit has depreciated. The Malaysian palm oil market has also struggled against the Indonesian palm oil and soy oil in China. Hence, this study aimed to identify the significant factors influencing China's demand for Malaysian palm oil by adopting the Auto-Regressive Distributed Lag (ARDL) analysis. The finding revealed that the currency rate of exchange, the foreign trade price of Malaysian palm oil to China, and the international soy oil price significantly influence Malaysian palm oil demand in China. Nevertheless, China's real GDP per capita showed a positive and significant influence only in the long run. The demand for Malaysian palm oil in China was not significantly impacted by the palm oil price offered by Indonesia, neither in the long run nor short run. Thus, the authorities related to this industry need to strategize the stock management system to control the price and currency stabilization to maintain its competitive power.
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Stephanie, Hanny, Netti Tinaprilla, and Amzul Rifin. "EFISIENSI PABRIK KELAPA SAWIT DI INDONESIA." Jurnal Agribisnis Indonesia 6, no. 1 (August 6, 2018): 27–36. http://dx.doi.org/10.29244/jai.2018.6.1.13-22.
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Crude palm oil (CPO) is one of Indonesian agricultural products that are widely developed. CPO is produced by palm oil mills. This research analyzes the efficiency of Indonesian palm oil mills uses 2010 manufacturing industry survey conducted by the Statistics Indonesia. The efficiency analysis is done by using Data Envelopment Analysis (DEA) with production value as the output, and production expenses, labor expenses, other expenses, and fixed capital as the inputs. It is found that 26 out 137 firms are efficient. Based on the capital ownership, foreign firms have the highest average efficiency score. Based on export participation, exporting firms have higher efficiency than non-exporting firms. Based on location, firms that located on other islands have higher efficiency than firms that located on Sumatra and Kalimantan.
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Hendy, Aprilian Hidayat, Firmansyah Firmansyah, and Widodo Wahyu. "The Intra-Industry Trade of Palm Oil Commodity Between Indonesia and Malaysia." E3S Web of Conferences 73 (2018): 10011. http://dx.doi.org/10.1051/e3sconf/20187310011.
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Globalization and trade liberalization promote the flow of goods and services between countries. In the international trade sector, the palm oil is one of Indonesia's main export commodities, as Indonesia is one of the largest exporters in the world. In addition to Indonesia, Malaysia is also one of the largest exporters of palm oil in the world. Even so, Indonesia and Malaysia mutually trade the palm oil commodities one another. In economics, the international trade involving products in the same industry is called intra-industry trade. The aims of this study is to analyze the intra-industry trade in the palm oil industry between Indonesia and Malaysia from 1989 to 2015.
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Pradana, Aziz, Kusmantoro Edy Sularso, and Irene Kartika Eka Wijayanti. "Analisis Faktor yang Berpengaruh terhadap Ekspor Biodiesel di Uni Eropa." Jurnal READ (Research of Empowerment and Development) 2, no. 1 (June 14, 2021): 41. http://dx.doi.org/10.20884/1.read.2021.2.1.3531.
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Biodiesel is a substitute product for fossil oil or diesel which is made from vegetable oil. Indonesia as a producer of biodiesel which is made from palm oil. This derivative product of palm oil is supported by Government policies in its utilization and supply. This policy boosted the palm oil industry, so that production and export capacity increased for a decade. The European Union is the largest consumer of biodiesel. Therefore, Indonesia exports biodiesel to the European Union and has become one of the largest exporters in the region. The purpose of this study is to examine the factors that influence Indonesia's biodiesel exports in the European Union. The research method used is multiple linear regression analysis using OLS to examine the factors that affect the amount of Indonesian biodiesel exports in the European Union. The results show, the regression test of the factors that affect the amount of Indonesian biodiesel exports in the European Union, namely; EU biodiesel production and biodiesel consumption have a significant or positive effect on total exports of 0.54% and 0.14%; the factor of the Rupiah exchange rate against the Euro, Indonesian biodiesel consumption, the dummy anti-dumping duty policy, international biodiesel prices and Indonesian diesel consumption have negative effects - respectively -0.04%, - 0.63%; -71.7%; -0.27%; -0.04, while the CPO production factor and oil palm land area did not significantly affect the amount of biodiesel exports to the European Union. From these factors, the government needs to increase biodiesel production and maintain biodiesel consumption in the EU so that it does not decline. Increased bilateral diplomacy to partner countries in offering biodiesel needs to be increased so that Indonesian biodiesel has a very strong competitiveness and does not depend on just one trading partner.
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Sari, Dyah Wulan, Haura Azzahra Tarbiyah Islamiya, Wenny Restikasari, and Emi Salmah. "The Source of Output Growth: Productivity Performance in the Indonesian Crude Palm Oil Industry." Journal of Southwest Jiaotong University 56, no. 2 (April 30, 2021): 405–18. http://dx.doi.org/10.35741/issn.0258-2724.56.2.33.
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Indonesia has become the largest producer and exporter of crude palm oil commodities in the world. Therefore, the production of CPO turns out to be very greedy for land. There are any problems in production CPO, therefore the study aims to develop a conceptual framework of the source of output growth, whether driven by input or productivity growth, and to implement this concept by investigating the source of output growth in the crude palm oil industry in Indonesia. The investigation applies firm-level panel data and follows a quantitative approach using general method of moments to estimate the production coefficients and calculate the input and productivity growth. The result shows that the output growth of the crude palm oil industry does not lead in productivity growth driven. It seems to be driven by input growth, not by productivity growth. Since growth is still driven by input, the crude palm oil industry will be less competitive in the world market. The high world demand for crude palm oil commodities from Indonesia must be met by using more efficient input factors, optimizing production scale, and supporting technological progress. The government, therefore, must have strategies that are more competitive in the global market.
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Soliman, T., F. K. S. Lim, J. S. H. Lee, and L. R. Carrasco. "Closing oil palm yield gaps among Indonesian smallholders through industry schemes, pruning, weeding and improved seeds." Royal Society Open Science 3, no. 8 (August 2016): 160292. http://dx.doi.org/10.1098/rsos.160292.
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Oil palm production has led to large losses of valuable habitats for tropical biodiversity. Sparing of land for nature could in theory be attained if oil palm yields increased. The efficiency of oil palm smallholders is below its potential capacity, but the factors determining efficiency are poorly understood. We employed a two-stage data envelopment analysis approach to assess the influence of agronomic, supply chain and management factors on oil palm production efficiency in 190 smallholders in six villages in Indonesia. The results show that, on average, yield increases of 65% were possible and that fertilizer and herbicide use was excessive and inefficient. Adopting industry-supported scheme management practices, use of high-quality seeds and higher pruning and weeding rates were found to improve efficiency. Smallholder oil palm production intensification in Indonesia has the capacity to increase production by 26%, an equivalent of 1.75 million hectares of land.
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Primadasa, Rangga. "KERANGKA KERJA SUSTAINABLE SUPPLY CHAIN RISK MANAGEMENT INDUSTRI KELAPA SAWIT DI INDONESIA." Journal of Industrial Engineering and Technology 1, no. 1 (December 30, 2020): 47–61. http://dx.doi.org/10.24176/jointtech.v1i1.5622.
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Abstract This paper combines three main concept including supply chain management, sustainability and risk management which is put palm oil Industry in Indonesia as an object. It explores sustainability-related supply chain risk from principle and criteria of roundtable sustainable palm oil (RSPO) and Indonesian sustainable palm oil (ISPO), distinguishes them from common supply chain risks and develop framework for their management. 45 risks across the three main pillars of sustainability (environmental, social, economic/financial) are identified from extensive review from principle and criteria of RSPO and ISPO. The fuzzy failure mode and effect analysis (fuzzy FMEA) approach is utilized to assess the relative importance of 45 risks. Based on the findings of the study, risks response and treatments are proposed for each sustainability-related supply chain risks. The findings show generally three most important risks are low OER (oil extraction rate), FFB (fresh fruit bunch) looting, un-fulfill palm oil mill capacity, respectively. Finally, integrated sustainable supply chain risk management approaches need to implement by the management of palm oil industry.
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Windiastuti, E., Suprihatin, Y. Bindar, and U. Hasanudin. "Identification of potential application of oil palm empty fruit bunches (EFB): a review." IOP Conference Series: Earth and Environmental Science 1063, no. 1 (July 1, 2022): 012024. http://dx.doi.org/10.1088/1755-1315/1063/1/012024.
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Abstract The palm oil industry is one industry that significantly contributes to the Indonesian economy. Indonesia’s palm oil exports keep increasing every year. In addition to producing CPO, the palm industry also produces solid, liquid and gaseous waste. The resulting waste can pollute the environment. Solid waste from the palm industry consists of oil palm empty fruit bunches, fruit juice fiber, palm kernel cake, shells and other solid waste. Of the various types of solid waste produced, oil palm empty fruit bunches (EFB) is the largest waste. The comparison of EFB waste management is presented in this paper. In recent years, various kinds of EFB handling have been implemented by researchers in order to increase the usefulness and added value of EFB. These range from simple technologies to advanced technologies. EFB has been used as a potential source of raw materials, such as raw materials for biofuels, mulch, papermaking materials, compost and agricultural biochar production. This paper discusses the advantages and disadvantages of each technology and new technology proposals.
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Wulandari, Ayu, and Muhammad Ansori Nasution. "Perbandingan Roundtable On Sustainable Palm Oil (RSPO), Indonesian Sustainable Palm Oil (ISPO), dan Malaysian Sustainable Palm Oil (MSPO)." Jurnal Penelitian Kelapa Sawit 29, no. 1 (April 20, 2021): 35–48. http://dx.doi.org/10.22302/iopri.jur.jpks.v29i1.129.
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Industri minyak sawit merupakan industri yang berperan dalam sektor perekonomian suatu negara. Industri kelapa sawit membutuhkan standar sertifikasi dalam memperkuat sistem industri dan langkah untuk tetap berkelanjutan. Sistem industri yang diperkuat berdasarkan ekonomis, hukum, sosial, dan ramah lingkungan. Penerapan standar sertifikasi kelapa sawit yang berkelanjutan antara lain Roundtable on Sustainable Palm Oil (RSPO), Indonesian Sustainable Palm Oil (ISPO) dan Malaysian sustainable Palm Oil (MSPO). Penelitian ini bertujuan untuk membandingkan tiga standar sertifikasi dan mengetahui standar sertifikasi yang paling komprehensif. Metode penelitian ini menggunakan metode kualitatif yang bersifat deskriftif dan dianalisa secara komprehensif dari setiap indikator. Hasil penelitian ini menunjukkan bahwa total penilaian RSPO, ISPO dan MSPO masing-masing sebesar 77 poin, 56 poin dan 62 poin, sehingga dapat disimpulkan RSPO memiliki tingkat kedetailan dan persyaratan yang lebih komprehensif dibandingkan ISPO dan MSPO berdasarkan aspek sistem sertifikasi, sistem rantai pasok, perlindungan sosial dan lingkungan, perlakuan petani kecil/plasma, lahan gambut dan pembebasan tanah.
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Hendarjanti, Henny, and Sapto W. Indratno. "The Use of Pest Mobile Application for Optimizing the Sustainability Support of Pest Management in Oil Palm Plantation." IOP Conference Series: Earth and Environmental Science 1131, no. 1 (January 1, 2023): 012019. http://dx.doi.org/10.1088/1755-1315/1131/1/012019.
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Abstract The road map of the Indonesian palm oil industry, which is entering the industrial revolution 4.0, is by innovation and sustainable development of digitalization, referring to the application of machine automation and human-machine communication. As a significant player in the global palm oil industry, Indonesia has started to apply digital technology in the oil palm plantation industry. In this paper a digital early detection of pests and its contributions to sustainable pest control is explored. This technology will make it easier to monitor activities on the plantation on a regular basis. Real-time observation is needed to find out the problem as early as possible. This collected digital information is then statistically analyzed and linked to ecosystem services to get better decisions, especially for sustainable integrated pest control (IPM). The use of smartphone technology with an HDI implementation assessment approach and the Triple Bottom Line is the company’s responsibility to the environment (planet), social (humans), and profit.
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Wildain, Syifa Febriana Nurul. "ANALYSIS OF THE INFLUENCE OF INTERNATIONAL TRADE POLICY ON THE INDONESIAN ECONOMY." CASHFLOW : CURRENT ADVANCED RESEARCH ON SHARIA FINANCE AND ECONOMIC WORLDWIDE 1, no. 4 (July 26, 2022): 71–76. http://dx.doi.org/10.55047/cashflow.v1i4.286.
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This study aims to determine the efforts made by Indonesia in fighting for the Indonesian palm oil industry, as well as to describe the political and business motives that are the roots of the emergence of discriminatory resolutions. The method used is a qualitative approach. The object of this research is the policies and strategies in dealing with the black palm oil campaign carried out by the European Union Parliament. The data collection technique used is the Library Research Technique. According to the findings of this study, the European Union's claims are contradictory to the facts. Research demonstrates that the European Union denies a number of facts, focusing instead on Indonesia's errors as a protectionist tool. Indonesia has the right or authority to bring this issue into the realm of international law if the results of this research can be found with certainty and can be legally accounted for.
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Anis Ria Susanti. "THE IMPACT OF INDONESIA’S PALM OIL INDUSTRY ON ECONOMIC AND ENVIRONMENTAL PERFORMANCE." Jemasi: Jurnal Ekonomi Manajemen dan Akuntansi 18, no. 1 (July 3, 2022): 64–79. http://dx.doi.org/10.35449/jemasi.v18i1.515.
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Indonesia is number one palm oil producer worldwide. Oil palm development is important for Indonesia’s economy. However, it has some issues regarding economic and environmental performance should be considered. This paper examines the relation of economic and environmental sides of oil palm development in Indonesia. It revealed the relation of gross regional domestic product (GRDP), unemployment rate, environmental quality index and oil palm plantation and oil palm production. This study utilises panel data regression analysis using time dimension 2007 to 2017 in Indonesia. This paper uses two independent variables, oil palm plantation and oil palm production. It has three dependent variables as follows: gross regional domestic product (GRDP) per capita, unemployment rate and environmental quality index. Furthermore, it seems that oil palm plantation has insignificant correlation to gross regional domestic product (GRDP) per capita. However, oil palm production has negatively correlated to gross regional domestic product (GRDP) per capita. Additionally, both oil palm plantation and oil palm production have negative relationship with unemployment rate. It means that for every increasing of oil palm plantation and oil palm production will decrease unemployment rate. The results for the relation between oil palm plantation and oil palm production with environmental quality index is quiet similar. There is no significant relation between those variables.
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Rahayu, Dwi Ermawati, Dutarama Nasarani, Wahyono Hadi, and Budisantoso Wrjodirjo. "Potential of biomass residues from oil palm agroindustry in Indonesia." MATEC Web of Conferences 197 (2018): 13008. http://dx.doi.org/10.1051/matecconf/201819713008.
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Oil Palm agroindustry is growing rapidly in Southeast Asia especially Indonesia and Malaysia. Based on GAPKI data, Indonesia's CPO production 2017 is 38.17 million tons and PKO of 3.05 million tons. Production activities in palm oil agro-industry in addition to producing PKO and CPOl produce solid waste from the plantation and palm oil mill, Palm Oil Mill Effluent (POME) from the palm oil mill. The biomass waste of oil palm agro-industry comes from activities in plantations in the form of midrib, leaves and palm tree trunks. While from the palm oil mill produced solid waste in the form of palm kernel shells (PKS), mesocarp fibers (MF) and empty fruit bunches (EFB). The waste is classified as biomass residue that can be utilized so that it has added value. Biomass potential in Indonesia can be estimated from the productivity of oil palm. The volume of biomass is 5,5-8%, empty bunches 20-23%, palm fronds 13.5-15%, 15% palm fiber from 1 ton of fresh fruit bunches. The total potential of oil palm solid waste biomass in Indonesia 2017 is 20.07 million tons and POME is 23.7 million tons. The largest distribution of biomass is in Riau, North Sumatra, South Sumatra province.
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Cahyadi, Eko Ruddy, and Hermann Waibel. "Is Contract Farming in the Indonesian Oil Palm Industry Pro-poor?" ASEAN ECONOMIC BULLETIN 30, no. 1 (2013): 62. http://dx.doi.org/10.1355/ae30-1d.
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Daniel, Ivan, Rini Selly, and Jasmidi Jasmidi. "Preparation of Activated Carbon Based on Oil Palm Waste for Ammonia Removal." Indonesian Journal of Chemical Science and Technology (IJCST) 3, no. 2 (August 13, 2020): 61. http://dx.doi.org/10.24114/ijcst.v3i2.19529.
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The aim of this study Industri is to reduce ammonia concentration in tannery waswater using Oil Palm waste. Palm oil is one of the strategic industry that is engaged in agriculture (agro-based industry) that many develop in tropical countries such as Indonesia. Palm oil plantations produce solid waste, one of which is an empty bunch. and the palm oil processing industry produces the liquid waste of one of them ammonia. By looking at the opportunity how to cope with the waste of ammonia derived from the processing of palm oil by making biosorbents from solid waste of empty palm plants that utilization of empty waste plants is still not maximal. With some treatment and tested with BET to see the surface area and total volume of pores after and before the treatment of activated carbon.
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Evand, Yogi, Diana Chalil, and Rahmanta Ginting. "Distribution Strategy of Subsidized Fertilizer in Smallholder Oil Palm Plantation at Air Batu Subdistrict, Asahan District, North Sumatra." Indonesian Journal of Agricultural Research 2, no. 3 (February 9, 2020): 121–28. http://dx.doi.org/10.32734/injar.v2i3.3202.
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Palm oil is an important commodity for Indonesia. It is an export oriented commodity with the highest export income contribution. Initially, Indonesian palm oil plantations were developed by major companies and since 1986, smallholders have started to establish. In 2018, the share of smallholders has reached 42% of the total Indonesian oil palm plantation areas. However, unlike major companies, most smallholders’ lack capital. Unfortunately, oil palm smallholders are not in the priority list of subsidized fertilizer recipients. As a result, smallholders have an average productivity that is still lower than private and state company plantations, which are 585.3 ton/ha/year and 5828 ton/ha/year, respectively. This does not only influence smallholder income but also the Indonesian palm oil industry. Therefore, this study will analyze subsidized fertilizer distribution for oil palm smallholders in Air Batu Subdistrict, Asahan District, which are determined purposively as one of the oil palm smallholding centers in North Sumatera. Data were collected from 1 (one) staff of the Agriculture office in Asahan, 2 (two) extension agents, 4 (four) fertilizer shopkeepers, and 24 smallholders in Air Batu. The agriculture office staff and extension agents were selected by purposive sampling based on their knowledge and responsibility in the distribution of subsidized fertilizers while shopkeepers and smallholders were selected with snowball sampling technique. Aside from timeliness, the overall distribution of subsidized fertilizer in Air Batu, Asahan is relatively good. Internal factors are negative since weaknesses are more dominant than strengths, while external factors are positive, since opportunities are more dominant than threats. The Asahan Agriculture Staff have made some fundamental changes, namely improving the management system both internally and externally. Therefore, they can use their strengths to overcome their weaknesses and threats to utilize the available opportunities as well as possible.
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Azahari, Delima Hasri. "Hilirisasi Kelapa Sawit: Kinerja, Kendala, dan Prospek." Forum penelitian Agro Ekonomi 36, no. 2 (December 19, 2019): 81. http://dx.doi.org/10.21082/fae.v36n2.2018.81-95.
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<p>Palm oil is one of the main commodities in Indonesia’s economy as it plays an important role in export market of the non-oil and gas sector. Palm oil industry at farm level deals with lack of replanting, low yield, low quality, and undeveloped downstream industry. Indonesia is relatively potential to develop the palm oil downstream industry given the existing market. Global palm oil demand keeps increasing despite negative campaigns against crude palm oil (CPO) and its derivative products. Land availability, labor supply and cultivation technology are supportive. This paper discusses and evaluates national palm oil performance, especially opportunities and challenges in creating value added to this industry. There are four main challenges, i.e. limited infrastructure and financing, lack of access to local authorities, land use conflict, and environment pressure. The government needs to implement policy priority on palm oil downstream industry which is more competitive, integrated, and sustainable.</p><p> </p><p>Abstrak</p><p>Komoditas kelapa sawit merupakan salah satu komoditas andalan perekonomian nasional dan sebagai penghasil devisa negara terbesar di sektor nonmigas. Permasalahan yang dihadapi industri kelapa sawit pada tingkat usaha tani adalah terbatasnya investasi untuk peremajaan, rendahnya produktivitas dan kualitas hasil, dan belum berkembungnya industri hilir secara maksimal sehingga produk-produk turunan kelapa sawit masih terbatas. Sementara itu, Indonesia masih memiliki potensi yang besar untuk meningkatkan nilai tambah melalui industri pengolahan turunan kelapa sawit jika dilihat dari sisi permintaan pasar maupun penawarannya. Dari sisi permintaan, permintaan kelapa sawit global terus meningkat walalupun dalam kondisi adanya kampanye negatif (black campaign) terhadap produk minyak sawit atau CPO (Crude Palm Oil) dan produk-produk turunannya. Dari sisi penawaran, ketersediaan lahan, tenaga kerja dan teknologi budi daya sangat menudukung. Tulisan ini membahas dan mengevaluasi kinerja industri sawit nasional, khususnya bagaimana peluang dan kendala penciptaan nilai tambah industri sawit. Tulisan ini menekankan empat kendala utama dalam pemanfaatan peluang tersebut, yaitu keterbatasan infrastruktur dan sumber pendanaan, akses otonomi daerah, konflik lahan, dan tekanan isu lingkungan. Dalam hal ini, pemerintah dituntut untuk dapat menerapkan berbagai kebijakan yang memprioritaskan pada hilirisasi kelapa sawit dengan pendekatan klaster/kawasan guna membangun struktur industri kelapa sawit yang berdaya saing, terpadu dan berkelanjutan. </p>
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Mukrimin, Mukrimin. "‘Complexation’ of Palm Oil in Indonesia: The Actors and Their Involvement in North Mamuju, West Sulawesi." Forest and Society 6, no. 1 (March 31, 2022): 398–78. http://dx.doi.org/10.24259/fs.v6i1.13789.
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This research examines the complexity of many significant changes in Indonesia's palm oil (PO) industry in North Mamuju, West Sulawesi, focusing on the actors' involvement. The PO commerce in this country continues to grow due to the increasing demand for crude palm oil (CPO) and kernel palm oil (KPO), low labor costs, vast lands, tropical climate, soil conditions, as well as domestic and global demand. Furthermore, private firms and smallholders continue to dominate the OP sector with continuous growth from upstream to downstream. This suggested that the PO industry has substantially impacted and helped change the newly constituted district of West Sulawesi, North Mamuju, by applying ethnographical modes of inquiry. According to the actors, the complexity of PO industry in this region is simply driven by the dynamics of the frontier inside and beyond PO plantations zona. Secondly, they are committed to ensuring that the region continues to be a center of PO industry to stimulate economic development in Sulawesi. Empirically, investment requirements and community attractiveness to PO continue to persuade local governments that the sector is the only development path. Local actors envision North Mamuju as the future hub for PO farmers in the East Indonesian region.