APHI Calls 40 PBPH Companies To Apply For The Implementation Of Multi Forestry Businesses

JAKARTA - Secretary General of the Indonesian Forest Entrepreneurs Association (APHI) Purwadi Soeprihanto said that around 40 companies holding Forest Utilization Business Licensing (PBPH) have applied for the implementation of multi forestry businesses.

According to him, forestry business actors need incentives that can make the implementation of multi forestry businesses part of the company's value chain.

He gave an example, the development of industrial plantation forests with agroforestry patterns that can get added value from the carbon business using the AR method (Aforestation, Reform, Revegetation).

"With the incentives, the PBPH holding company will internalize multi forestry businesses in its business process and do not respond as an obligation," said Purwadi, quoted from ANTARA, Monday, September 18.

Previously, the Director General of Forest Management Lestari, Ministry of Environment and Forestry Agus Justianto, said that based on the Job Creation Act, Forest Utilization Business Licensing (PBPH) holders could develop Multi Forestry Businesses.

"The development of business diversification in the forestry sector, integrates the use of areas, wood and non-wood forest products," he said.

The Multi-Forestry Forestry business model, he added, is considered to be able to trigger productivity so that the real economic value of forest land can increase.

In addition, the implementation of Forestry Multi-Efficients also has a major impact on the achievement of the Indonesia's FOLU Net Sink 2030 agenda.

In the activities of the Environmental, Climate, Forestry and Renewable Energy Festival, Agus stated, the paradigm of using only wood-oriented forests is no longer relevant.

Moreover, the potential for wood, which according to various literature is no more than 5 percent.

Therefore, now 95 percent of other forest landscape potentials must be developed through forestry business diversification to increase the economic value of forest landscapes.

"The multi-entrepreneur scheme is considered capable of increasing the real economic value of forest land which is currently still low," he said.

Referring to PermenLHK No. P.08/2021 PBPH can adjust changes in forest utilization business through Multi Forestry Businesses.

He said the implementation of the Multi Business Forestry business model was part of the achievement of the greenhouse gas emission reduction agenda (GHG) from forestry and other land use (Forestry and Other Land Use/FOLU) to control climate change, Indonesia's FOLU Net Sink 2030.

Meanwhile, Deputy Chairperson of the Indonesian Chamber of Commerce and Industry Silverius Orkar Unggul explained that multi forestry businesses are opportunities that must be utilized by business actors in Indonesia.

He explained that Kadin began to peek at opportunities for multi-forestry efforts when Indonesia experienced a shortage of medicinal raw materials during the COVID-19 pandemic.

Even though the raw materials can be produced from forest areas.

In addition, demand for renewable energy in the form of wood pellets has begun to increase, coupled with the growing regenerative product business model in world producers.