The Largest Palm Oil Plantation In Indonesia, Here's The Company's List

Illustration of oil palm plantations (Photo from Antara)

YOGYAKARTA - Indonesia is the largest palm oil producing country in the world. Palm commodity. Palm oil is Indonesia's mainstay commodity in the country's foreign exchange economy. Based on the results of the audit, it was recorded that oil palm plantations in Indonesia were 16.8 million ha.

Where are the largest palm oil plantations in Indonesia? There are a number of palm oil companies that have very large plantations. The plantations are spread across various regions, ranging from Sumatra, Kalimantan, Papua. These companies have large assets and income from exports of palm oil.

The largest palm oil land in Indonesia is on the island of Sumatra, especially in Riau Province. In the second position is Kalimantan Island. The oil palm plantations are owned by companies that have open status so that their shares can be traded.

Here are the 5 largest palm oil companies in Indonesia:

PT Sinar Mas Agro Resources and Technology (SMART) became the largest palm oil plantation company in Indonesia. This company was founded by Eka Tjipta Widjaja in 1962. Eka Tjipta is the 3rd richest person in the country.

PT SMART owns an oil palm plantation of 138,000 hectares, based on data reports in 2019. Its palm oil fields are spread across 47 plantations. This company recorded fantastic sales of IDR 36.19 trillion with a net profit of IDR 899 billion. The company also has processing facilities with a capacity of 4.4 million tons.

The second largest palm oil plantation in Indonesia belongs to PT Astro Agro Lestari Tbk. Before producing palm oil, this company initially started a business in the cassava and rubber business industry.

The company began switching to the palm oil business in 1984, by clearing land in Riau. PT Agro Astra Lestari is a subsidiary of the merger of several plantation companies with a total land area of 286,877 hectares. Apart from Riau, this palm oil plantation company is also spread in Kalimantan and Sumatra.

Of the plantation area of 286,877 hectares, 217,428 hectares are core gardens. Meanwhile, the area of 69,549 is a plasma garden.

The largest palm plantation owner company number 3 is PT Salim Ivomas Pratama Tbk. The company was founded in 1992 and became a major player in the palm oil industry. The company owns 28 factories in Sumatra and Kalimantan. The palm oil products produced are the Bimoli and Palmia brands.

The company is recorded as owning a palm oil area of 251,112 hectares. The company was able to earn an income of IDR 14.4 trillion with a net profit of IDR 340 billion.

The next order as the largest palm oil company is occupied by Darma Satya Nusantara Tbk. This company is engaged under the auspices of the Triputra Group. This company is one of the important players in the palm oil industry in Indonesia.

The company was founded in 1980. Initially, the company was engaged in the timber business industry until 1966. But then the company began to switch to the palm oil business.

The plantation area of this palm oil company reaches 112,450 hectares. Of this area, 84,556 lands are core land. Meanwhile, the remaining area of land is plasma land which is also used by local farmers. This company was able to reap a fairly large income of Rp5,736 billion with a net profit of Rp166 billion rupiah.

PT London Sumatra Indonesia Tbk is a company from England. This company has become a big player in the palm oil industry. This company has an area of 115,665. Of this area, the palm oil area is 85,637. Meanwhile, 15,945 lands are rubber plantations and 15,945 are kakau plantations.

All plantations owned by this company are widespread on the island of Sumatra. This company was able to earn an income of IDR 3.69 trillion with a net profit of IDR 252 billion.

This is information regarding the largest palm oil plantation in Indonesia. Until now, the company that owns the largest palm oil is PT SMART. Meanwhile, the largest palm oil plantation is on the island of Sumatra.

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