InfoSAWIT, JAKARTA – Edi Oloan Pasaribu, a member of Indonesia’s House of Representatives Legislative Body (Baleg), reaffirmed the commitment of the DPR to establish legislation that benefits all stakeholders within the palm oil sector. This new regulatory framework aims to address the interests of independent farmers, plasma farmers, and corporations alike, all of which contribute significantly to Indonesia’s economy as one of the largest non-oil export sectors.
“Our approach is holistic, ensuring that no party is prioritized over others,” Edi stated during a public hearing between Baleg DPR RI, the Indonesian Palm Oil Association (GAPKI), the Indonesian Tobacco Farmers Association (APTI), and the Indonesian Textile Association (API), held at the DPR building in Senayan, Jakarta, on Monday (4/11/2024). During the session, Baleg emphasized the importance of stringent oversight in regulation implementation to produce tangible outcomes on the ground.
Edi highlighted the need for a specialized agency dedicated to overseeing the palm oil industry, citing the confusion caused by overlapping regulations from 37 different government ministries and agencies. “A centralized palm oil agency would be a significant step in organizing and facilitating all stakeholders involved in this industry,” added Edi, a PAN faction politician, as quoted by InfoSAWIT from Parlementaria on Wednesday (6/11/2024).
Additionally, Edi proposed establishing commercially accessible palm oil processing mills (PKS) for small-scale farmers. By creating PKS facilities without land ownership requirements, independent and plasma farmers could sell their produce at more competitive prices, reducing their dependence on pricing controlled by large corporations.
Edi also called for strategic efforts to enhance the competitiveness of Indonesian palm oil exports by addressing negative perceptions in European markets, where palm oil is often deemed environmentally harmful. He expressed hope that future policies will not only serve domestic interests but also help to overcome export barriers, particularly in the European Union.
Through the National Legislation Program (Prolegnas), Baleg DPR RI will prioritize these initiatives to ensure that palm oil remains a leading commodity for Indonesia in the global market, while empowering farmers with a fair role in the supply chain. (T2)
