The Indonesian Palm Oil Association (GAPKI) warned that crude palm oil (CPO) production may decline in 2025 due to the transition of ownership to state-owned PT Agrinas Palma Nusantara. If the transition takes too long, critical maintenance and fertilization activities could be delayed, potentially reducing production in the second half of the year. The Forest Area Recognition Task Force (Satgas PKH) plans to transfer management of approximately 217,000 hectares of reclaimed forest areas to Agrinas Palma, previously owned by 109 palm oil companies. Additionally, the task force has handed over 221,000 hectares of land from Duta Palma Group, which was confiscated during a corruption investigation. However, GAPKI Chairman, Edi Martono, pointed out that there is still uncertainty about the operational status of these lands, particularly Duta Palma’s, which has only undergone clarification and stake installation without full state confiscation.The government has ambitious plans for Agrinas Palma, aiming to manage 1 million hectares of oil palm plantations as part of a strategic project. Indonesia's Coordinating Minister for Food Affairs, Zulkifli Hasan, stated that in the initial phase, Agrinas will begin managing 221,000 hectares, with 145,000 hectares requiring improvements and the remaining land needing replanting. Initially, the government allocated Rp8 trillion (US$483.6 million) from the 2025 State Budget (APBN) to support the initiative. However, Investment Minister Rosan Perkasa Roeslani later clarified that funding would be redirected through the Daya Anagata Nusantara Investment Management Agency (BPI Danantara) instead of using state budget funds.Source: https://indonesiabusinesspost.com/4021/energy-and-resources/indonesias-palm-oil-output-may-decline-amid-ownership-transition-to-agrinas-palma (ICE GIACARTA)

Fonte notizia: Indonesia Business Post, 27 March 2025