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Smallholders and Plantation Companies’ Partnership in Jambi Was Since 1983



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Smallholders and Plantation Companies’ Partnership in Jambi Was Since 1983

InfoSAWIT, JAMBI - Eversince the ‘Perkebunan Inti Rakyat (PIR) Transmigrasi’ was developed in 1983/1984, palm oil plantation was introduced to the villagers. The government did the cooperation between the smallholders and the plantation companies. The villagers were as the plasma of the companies, and the companies could strengthen the villagers to do their business.

The ‘PIR Transmigrasi’ which was supported by the private companies has been running for long in the province.

Since 1991, PT Inti Indosawit Subur has been operating to develop plantation in District of Batanghari. It also develops rubber and palm oil plantation, through the ‘PIR Transmigrasi’ too. Its main palm oil plantations reach about 5.359 hectares and the plasma palm oil plantations reach 17 thousand hectares.

One child of a smallholders who also does his parents’ business, Suhar (35) said, his parents joined the ‘PIR Transmigrasi’ program many years before and they are now in Jambi to cultivate palm oil. They had 2 hectares within the house to live in and a yard, reaching 0,5 hectare.

As the participant of ‘PIR Transmigrasi’ in 1991 from Central Java Province, his parents and his two brothers joined as the plasma smallholders of plantation company, PT Inti Indosawit Subur. Through the partnership, they got something to live in every month from the government. 

As the plasma smallholders - the partners of private plantation company - the government helped them by getting the loan interest subsidy for about 10 years. The success as the smallholder could pay their loan from the banks in 5 to 6 years only.

Not only paying his bills to the banks faster from the schedule, in his journey of life as plasma smallholder, his parents and others have better economy, such as, the ability to buy other plantations in the surroundings.

In the educational level, there are many students studying in the national and international level, who are from the smallholder families.

 

Continue Palm Oil Business

Suhar has known palm oil from his teen age. He is grateful for what his parents have done after planting palm oil. Thinking of his previous life in Central Java which was lack of everything, as a plasma smallholder, it changes his life to be better.

Suhar also helped his parents in his teen age. He also cultivated the plantation. The expensive or cheap FFB price becomes something priceless to learn.

As long as he recognized, the FFB got the most expensive price in 1998. They had double income. Many smallholders were out of control and bought everything. But he got different experience from his parents.

“In the year, the FFB was very expensive. But my parents just saved money,” he said.

His parents were thankful on the better price. But in the end, when the FFB price decreased in the early of 2000s, they could buy the other plantation which were not too far from their living. This makes them have other areas, reaching 10 hectares, out of the plasma plantation.

Though he passed vocational school only, but Suhar has better life. As the oldest son, he chooses to help his parents in cultivating palm oil areas.

Source: Majalah InfoSAWIT, March 2017


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