Thursday, 27 February 2014


In an effort to show the variety of industry efforts to make the cultivation of oil palm as a model for sustainable agriculture in the future that will benefit both the environment and the palm oil industry itself, and also give a special attention to environmental issues through experience-sharing strategy and finding solutions and resources among various stakeholders. PT Smart. Tbk jointly with CIRAD and WWF Indonesia cooperate to hold the fourth International Conference on Oil Palm and Environment (ICOPE), in Bali from 12 to 14 February 2014.

According to Daud Dharsono, Chairman of the ICOPE Steering Committee 2014, on Tuesday (February 11), this year ICOPE chooses a theme “Palm Oil Cultivation: Being a Model for Sustainable palm oil production, while making it as a model of sustainable agricultural development. Some current issues, such as solution to development that minimizes deforestation, greenhouse effect and land use, biodiversity, and plasma farmers will be discussed in this conference.

The development of national palm oil industry is growing rapidly, following the world’s vegetable oil demand which continues to increase. And, with the strengthening of efforts of the national oil palm industries in implementing sustainable agribusiness practice, it encourages the need for holding this conference. Since the first, second and third conference held in 2007, 2010, and 2012, ICOPE has gained international recognition from international experts as a unique and important forum for networking development and sharing of best practices and solutions in accordance with sustainable palm oil production and environmental protection programs both at policy review level as well as its application in the palm oil industry.

The third ICOPE in 2012 was attended by more than 400 participants, they are leading experts and entrepreneurs from 18 countries. Since that time, several key initiatives at various scales have been announced and implemented in various plantation companies and organizations at national and international levels.

“Like the three previous conferences, this year we invite all participants to use this platform to share knowledge and perspectives, express opinions, discuss and formulate future plans that allow for the development of technology and the use of best practices for sustainable palm oil development,” Daud Dharsono added.

The conference which will be officially opened by the Minister of Agriculture accompanied with a briefing by the Forestry and Environment Minister will be divided into several sessions in three days. The first day of the conference features a panel discussion titled “Seeking Models for Sustainable Agriculture in the Future,” followed by a session, namely session 3: “Greenhouse Gas Emissions”, session 4 and 5 will discuss “Ecological Intensification in Oil Palm Cultivation”. On the last day, the discussion will be focused on a quite challenging topic, namely “Diversity of Sustainability Certification System in Palm Oil Industry.”

Based on data processed by the Ministry of Industry, as one of the priority industries to be developed into higher value-added industries such as oleofood, oleochemicals, energy and pharmaceuticals, prognosis in 2013, investment in oil palm cultivation in 2013 reached Rp27.8 trillion with 98 business units.

With the entry of investment in palm oil manufacturing industry from Sinar Mas Group, Musim Mas Group, Wilmar Group, Domba Mas (Bakrie Group), PTPN III, Salim Ivomas, Asian Agri Group, Unilever, and Golden Hop which is estimated at more than Rp24 trillion, then the level of capacity fulfillment of the domestic cooking oil industry increased from 45% in 2010 to over 70% in 2012.

In line with the downstreamization program, there was a shifting trend the exports from CPO (crude palm oil) and CPKO (crude palm kernel oil) upstream products to downstream products (oleofood and oleochemicals). For comparison, in 2007 the volume of CPO and CKPO exports reached 51.54%, and in 2012 dropped to 37.93%. And, volume of exports of CPO derivative products in 2007 reached 48.46%, and in 2012 increased to 62.07%. (E)    

Business News - February 14, 2014

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