PTPN III Targets To Control 700,000 Hectares Of Palm Oil

Illustration (Photo: Doc. ANTARA)

JAKARTA - The BUMN Plantation Holding, PT Perkebunan Nusantara III or PTPN III is targeting to increase its managed palm oil land by 700,000 hectares in the next 10 years.

This increase is in line with the formation of PalmCo subholding.

President Director of PTPN III Mohammd Abdul Ghani said PalmCo subholding was specially formed to take care of the commodity of kalapa palm oil.

"Our target is that in the next 10 years we will expand our palm oil plant from now 550,000 to 700,000 hectares," he said in a meeting with Commission VI of the DPR, at the DPR Building, Parliament Complex, Tuesday, June 25.

Ghani said the expansion of the land was obtained from the conversion of rubber plantations to palm oil owned by companies in the Sulawesi area.

"Where did 700,000 hectares come from? We will convert our rubber and empty plates on 14 Sulawesi for palm oil," he explained.

Ghani emphasized that this step was taken as an effort by the company to support the independence of new and renewable energy in the country.

"That's part of strengthening so that in the future the independence of renewable energy," he said.

For your information, the Ministry of State-Owned Enterprises (BUMN) officially merged 13 companies under the Nusantara Plantation Holding, into two Sub Holdings, namely PalmCo and SupportingCo.

PalmCo was formed through the merger of PT Perkebunan Nusantara (PTPN) V, VI and XIII into PTPN IV as a survival entity and a pure separation of PTPN III (Persero) into PTPN IV.

Meanwhile, Subholding SupportingCo was formed through the merger of PTPN II, VIII, VIII, IX, X, XI, XII, and XIV into PTPN I. Both were inaugurated on Friday, December 1.

With this merger, PalmCo is expected to become the largest palm oil company in the world in terms of land area, reaching more than 600,000 hectares by 2026, and will become the main player in the world's palm oil industry.

So as to be able to increase national CPO production and domestic cooking oil.

In fact, PTPN estimates that cooking oil production will increase from 460,000 tons per year in 2021 to 1.8 million tons per year or four times in 2026.