What is the Existing Condition of Palm Oil Plantation Management in Riau Province, Indonesia?

Abstract

This study aims to describe the management of oil palm plantations in Riau Province using a qualitative method. The Nvivo 12 Plus software was used to analyze the data, which came from the results of interviews with each of the important actors. The results of this study showed that the social and legal aspects of managing oil palm plantations (37.93%), the economic aspects (34.48%), and the ecological aspects (27.59%) were the ones that stood out the most. The public has a general idea of what the economic benefits of oil palm are and what stakeholders think about them. From an environmental point of view, oil palm plantations are very important for keeping soil and water in place. However„ when you look at oil palm from a social and legal point of view, you can see that it has helped make residents’ incomes more equal. Therefore, it is important to remember that oil palm plantations need to be constantly and thoroughly monitored and evaluated by the people in charge of them.
 Keywords: existing, management, plantation, palm oil

The Dynamics of Social, Economic, and Cultural Changes and the Role of Institutions in Supporting Agribusiness Development in The Oil Palm Plantation Area

“…The growth in world demand for CPO in the last 5 (five) years has averaged 9.92%. Indonesia's position is very vital because it is one of the countries that produce the most CPO in the world (Vijay et al, 2016;and Descals et al, 2021), as well as the largest in the Southeast Asian region to several African countries (Afrino & Syahza, 2023;Indriyadi, 2022;Purnomo, 2020;Herdiansyah et al, 2020;and Iskandar et al, 2018). As reported by Goggin and Murphy, (2018); and Murphy et al, (2021) that Indonesia produces the world's largest CPO, reaching 58.80%, followed by Malaysia at 25%, Thailand at 3.9%, and the states of Africa and Latin America around 2%.…”

“…Spread in the provinces of South Kalimantan, Central Kalimantan, and East Kalimantan. The remaining 23% is spread in other regions such as Sulawesi and Papua (Afrino & Syahza, 2023;and Marta et al, 2019). So much of this area is partly cultivated by large private companies (PBS), which account for 54.94% of the total area of oil palm plantations in Indonesia.…”

“…Providing low-interest rates for the development of the plantation sub-sector and various facilities and other facilities for both private companies, State-owned plantations (BUMN), and smallholders who own oil palm plantations. This step is considered appropriate when referring to the percentage of oil palm plantation business by the people (PR) of nearly 50%, producing around 49 million tonnes in 2021, an increase of around 2.9% compared to the previous year's total of 48.3 million tonnes (Afrino & Syahza, 2023). Apresian et al, (2020) in their study stated that oil palm plantations contribute to economic growth down to the small farmer level.…”