Section 2 : Global Palm Oil Market Focus:
Smallholders in Indonesia Palm Oil Supply Chain and BPDPKS Role
Mr. Dono Boestami
Mr. Boestami is currently the Chief Executive of BPDP KS (Oil Palm Plantation Fund Management Agency). Prior to joining BPDP KS in February 2017, Mr. Boestami was the CEO of PT MRT Jakarta from March, 2013 until October, 2016. He is responsible to get the first MRT project in Indonesia going, after being delay for 5 years. From 2011 to 2013 he was the CFO of PT Atlas Resources Tbk and from 2006 until 2011 was CFO of PT Bukit Asam (Persero) Tbk (PTBA).
Prior to that, he was an Investment Banker for more than 10 years at Danareksa, Citigroup and Barclays Capital working on Corporate Finance, Debt Capital Markets, Securitization, and Mergers & Acquisitions transactions. He was originally a Commercial Banker with more than 10 year experiences, started his banking career with Bank Niaga. Mr. Boestami graduated from University of Wisconsin – Platteville with a B.Sc. in Civil Engineering and from Golden Gate University with a M.Sc. in Project & Construction Management.
Palm oil sector has significant contribution to Indonesia social and economy. The smallholder farmers are also key player in Indonesia palm oil sector as they share almost half of palm oil plantation, hence the development of the sector also depends very much on the productivity of the smallholder farmers. However, the productivity level of smallholder farmers in Indonesia is way lower compare to productivity of Big Corporation’s plantation. Lower productivity of smallholder farmers leads to the lower level of income and increase the risk of illegal land clearing. BPDPKS with Indonesian Government developed a comprehensive replanting program to increase smallholder farmers productivity and welfare as well as to reduce the risk of illegal land clearing. The program has been launched by President Joko Widodo in October 2017 and is targeted to cover 2.4 Million Ha land of smallholder farmers nationwide.
The complete presentation will include:
- The importance of Palm Oil Sector in Indonesia economy
- Role of smallholders in Indonesia Palm Oil Sector
- Challenges faced by smallholder farmers
- Government and BPDPKS solution to increase smallholder’s productivity and welfare
- The introduction of smallholders replanting program
- Opportunity and challenges in implementing replanting program for smallholders
- The financing scheme for smallholders replanting program
- Social and economy aspect during replanting program
- Supporting activities for replanting program
- Replanting Program target and way forward
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