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Two-Tiered Palm Subsidies

Monday, 11 April 2022

Funds from the Oil Palm Plantation Fund Management Agency for the rejuvenation of oil palm plantations are being utilized by corporations and for palm plantations in forested areas.

Coordinating Minister for the Economy Airlangga Hartarto (second from left) applies fertilizer to newly planted oil palm seedlings during the Initial Planting of the People’s Oil Palm Rejuvenation Program in Parit Gajah village, Siak Regency, Riau, February 24. ANTARA FOTO/Rony Muharrman . tempo : 167036945691

WHENEVER Abdur Ratik is invited to talk about his oil palm plantation, his thoughts immediately race to his Rp106 million (US$ 7,310.3) debt to Bank Mandiri and the People’s Palm Rejuvenation (PSR) program. The 61-year-old oil palm grower from the Bukti Harapan village, Siak, Riau, resigned to the fact that his debt compiles on a daily basis. “With interest it might reach Rp300 million,” he said in mid-March.

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