Kaltara DPRD Asks Local Government To Build Cooking Oil Factory

Chairman of Commission II of the DPRD Kaltara Province Achmad Usman/Photo: Antara

TANJUNG SELOR - The Regional House of Representatives (DPRD) of North Kalimantan (Kaltara) has encouraged the local government to build a cooking oil factory, considering that the area of palm oil plantations in the youngest province reaches 204,000 hectares. Cooking oil factories are a long-term solution," said Chairman of Commission II of the Kaltara Provincial DPRD, Achmad Usman, Wednesday, March 23. (The State Capital) in East Kalimantan, has a great opportunity to become a buffer and supplier of needs there," he said quoted by Antara. According to him, there are two schemes that can be carried out to downstream palm oil into cooking oil products. investors build palm oil refining companies," he said. The second scheme, cooking oil factories are built by the government regions through Regional Owned Enterprises (BUMD) in the form of Regional Public Companies (Perumda) or Regional Government Companies (Perseroda).

"It could be Perumda, which means pure capital participation from local governments, or Perseroda which can collaborate with the private sector," he explained. Of the two options, according to him, BUMD Perseroda is the most promising. Fried. The existence of BUMD also has the opportunity to increase local revenue (PAD)," he said. According to him, this is also in line with one of the development themes of the Kaltara Province, namely industrial development and increasing the added value of industrial products based on local resources. BPS) Kaltara Province in 2020, the area of oil palm plantations is 204 thousand hectares. In detail, 37.3 hectares of people's plantations and 166.7 thousand hectares of plantation companies. As for crude palm oil (CPO) products, an increase of 69.63 percent or 219, 1 thousand tons from 314.6 thousand tons in 2019 to 533.7 thousand tons in 2020.