JOURNAL MONITOR EDITION 34 : A REFLECTION AND HOPE FOR THE 109th OF NATIONAL PALM OIL DAY
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History records that the initial milestone of oil palm plantations in Indonesia occurred when the first commercialization of oil palm plantations in Pulo Raja (Asahan) and Sungai Liput (Aceh) was developed on 18 November 1911. Therefore, this date is celebrated as National Palm Oil Day. At the age of 109th, oil palm plantations and palm oil industry showing more their contribution to the Indonesian economy. Even the existence of industry is more real in the the Covid-19 Pandemic and the economic recession by becoming a major contributor to Indonesia’s economic growth. Other achievements of the palm oil industry have been achieved through palm oil-based downstreaming which is increasingly developing by producing various product innovations in the fields of food, health, oleochemicals to energy.
Behind the achievements have been made by the national palm oil industry, there are still problems or obsbtacles that faced by industrie. And if this problems left without a solving solution, it will threaten the existence of the national palm oil industry both in the domestic market and the global market in the future.
The main problem faced by oil palm industry players, both companies and oil palm farmers is land legality. For smallholder farmers, where most of their plantations are labeled as illegal because they enter forest areas, and this has negative implications because it preventing farmers to participating in development programs that have the opportunity to make farmers “upgrade” and have an equal position with plantation companies, namely increasing productivity by replanting (PSR) and Indonesian Sustainable Palm Oil (ISPO). Another problem faced by the palm oil industry is the massive of black campaigns and trade policies that discriminate against palm oil-based products implemented by importing countries.