宅男福利社|宅男频道|宅男福利社|宅男社

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About 宅男福利社|宅男频道|宅男福利社|宅男社

Contents

宅男福利社|宅男频道|宅男福利社|宅男社 are “farmers growing oil palm, sometimes along with subsistence production of other crops, where the family provides the majority of labour. The farm provides the principal source of income, and where the planted area of oil palm is below 50 hectares in size.”

宅男福利社|宅男频道|宅男福利社|宅男社 farm more than 40% of the oil palm plantations in Indonesia. The estimated number of smallholder farmers is about 2 million farmers, excluding their families.



Types of 宅男福利社|宅男频道|宅男福利社|宅男社

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We work closely with the schemed 宅男福利社|宅男频道|宅男福利社|宅男社 in our plantations and mills. Schemed or associated 宅男福利社|宅男频道|宅男福利社|宅男社 are structurally bound by contract, a credit agreement or planning to a mill. They do not choose which crop they grow, are supervised in their planting and crop management techniques, and are often organised, supervised or directly managed by the managers of the mill, estate or scheme to which they are structurally linked.

We also work closely with independent 宅男福利社|宅男频道|宅男福利社|宅男社 too, both the ones who supply to our mills and the ones who supply to our third-party mills. Independent 宅男福利社|宅男频道|宅男福利社|宅男社 are self-financed, managed, and equipped and are not bound to any one mill. They may deal directly with local mill operators of their choice or process their Palm Oil using personal or community manual Palm Oil presses (more common in Africa).


Our Smallholder Locations

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As independent 宅男福利社|宅男频道|宅男福利社|宅男社 also form a significant part of our third-party mills’ supply bases, 宅男福利社|宅男频道|宅男福利社|宅男社 are an important group of stakeholders in our strategy to implement our Sustainability Policy or No Deforestation, Peat, and Exploitation (NDPE ) policy. The chief concern with the NDPE policies is that the policies exclude 宅男福利社|宅男频道|宅男福利社|宅男社 from the supply chain, due to suspension policies. With the mixing of 宅男福利社|宅男频道|宅男福利社|宅男社 ’ oil into the Indonesian supply base, the smallholder dilemma that comes with NDPE policies is complex.


Schemed 宅男福利社|宅男频道|宅男福利社|宅男社

We provide financial and technical assistance to develop the villagers’ arable land into oil palm holdings (smallholder projects) through cooperative programme, Kredit Koperasi Primer Anggota (KKPA) and Village Development Programmes. As at end-2016, the total families/villages of the KKPA and Village Development Program which we are supporting are as follows: 


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The other community projects include the construction of wells, road repairs, free medical aid and financial assistance for local community projects. These programmes create employment and increase the income level of the community.

In 2011, the Group’s affiliated 宅男福利社|宅男频道|宅男福利社|宅男社 under the KKPA successfully complied with RSPO certification requirements. The KKPA in West Sumatra is the first smallholder scheme in Indonesia to receive the Indonesian National Interpretation of RSPO P&C certification. The 宅男福利社|宅男频道|宅男福利社|宅男社 must adhere strictly to RSPO standards and undertake one main audit every five years, with four annual surveillance assessments. 


Please click here for more information on the KKPA farmers. 


CompanyName of scheme smallholdersCertified areaNumber of families in KKPA
PT Agrowiratama
Koperasi Sawit Bersama I & Koperasi Sawit Bersama II
524
262
PT Agrowiratama
Koperasi Sawit Bosa Sungai Aua Manjunjung Bilang
500
250
PT Agrowiratama
Koperasi Sawit Datuk Bosa Sikilang
500
250
PT Musim Mas
KKPA Rawa Tengkuluk
802
401
PT Musim Mas 
KKPA Merbau Sakti
1066.13
534

Updated as at July 2017


The KKPA scheme has resulted in increased productivity, which in turn increased the earnings of 宅男福利社|宅男频道|宅男福利社|宅男社 . For example, our smallholder cooperative in the West Pasaman Regency, West Sumatra Province, contributed to a mosque, a kindergarten and an indoor sports centre.


Independent 宅男福利社|宅男频道|宅男福利社|宅男社

Given the smaller scale of the 宅男福利社|宅男频道|宅男福利社|宅男社 ’ operations (with planted areas of less than 50 hectares), 宅男福利社|宅男频道|宅男福利社|宅男社 are usually disadvantaged by limited financial resources, limited access to technology and best operational procedures. Hence, the resultant low yields and less environmentally desirable practices make it difficult and costly for them to achieve RSPO certification.


Feedback from Baseline study on Independent 宅男福利社|宅男频道|宅男福利社|宅男社  

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Source: IFC, “Diagnostic study on Indonesian oil palm 宅男福利社|宅男频道|宅男福利社|宅男社 ”, September 2013 

Indonesian Palm Oil Development for 宅男福利社|宅男频道|宅男福利社|宅男社 (IPODS)

Musim Mas is collaborating with the International Finance Corporation (IFC) – a member of the World Bank Group - to assist independent 宅男福利社|宅男频道|宅男福利社|宅男社 who have been supplying Fresh Fruit Bunches (FFBs) to our subsidiary. We started with one of our subsidiaries, PT Siringo Ringo (Siringo Ringo) in Rantau Prapat, Sumatra, Indonesia in June 2015. Siringo Ringo has an independent smallholder supply base that makes up ninety percent of the total FFB supply.

The project has since been extended to three other mills in Riau that sources from many independent 宅男福利社|宅男频道|宅男福利社|宅男社 too. These three mills are estimated to benefit additional 9,000 independent 宅男福利社|宅男频道|宅男福利社|宅男社 , bringing the total number of beneficiaries of the Musim Mas-IFC joint projects to 12,000 宅男福利社|宅男频道|宅男福利社|宅男社 . It is the largest Independent Smallholder programme in Indonesia. 

The programme serves to bring these independent 宅男福利社|宅男频道|宅男福利社|宅男社 up to efficient farming standards adopted by large Palm Oil organisations. We will provide agronomic training, provide access to financial support and global markets and educate on the legal requirements. The project will close the gaps between current practices and those required for certification. We want to reach out to more 宅男福利社|宅男频道|宅男福利社|宅男社 for an inclusive supply chain.


Programme Objectives:

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Target by end-2020:

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How is the project different?

  • Independent extension platform of agronomists and field assistants who are recruited from the local communities.
  • Electronic tag for traceability.
  • Training modules that focuses on family such as nutrition for children, not just agriculture.
  • Grouping the previously unorganised farmers into groups for greater bargaining power.
  • These are truly independent 宅男福利社|宅男频道|宅男福利社|宅男社 who are individuals not organised in a formal manner.


    Key support strategies for 宅男福利社|宅男频道|宅男福利社|宅男社
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    Skills development for 宅男福利社|宅男频道|宅男福利社|宅男社

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    Challenges of the Project

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    For more information, please refer to here for the public presentation on IPODS. 

    Extension Services Programme (ESP)

    The Extension Services Programme (ESP) was conceived to address the challenges of independent 宅男福利社|宅男频道|宅男福利社|宅男社 who supply indirectly to us. 

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    Participant Soundbites
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    Project Locations

    No.Province and DistrictThird-Party Supplier millCommencement DateStatus
    1
    South Sumatra, Palembang, Sungai Lilin
    PT Bastian Olah Sawit (PT BOS)
    December 2017
    Training on-going
    2
    Aceh, Aceh Tamiang
    PT Pati Sari (Pati Sari)
    April 2018
    Scheduled for commencement

    As the ESP experiences success and momentum, we will look to scaling up the programme to other regions that are of high importance to our sustainability implementation plan.

    Training
    Training is competency based to ensure the development of both knowledge and skills. The curriculum is based on materials developed by the Musim Mas plantations division, and modified to the appropriate level of the smallholder participants. 

    Explain-Demonstrate-Practice
    Informal theory sessions will be supplemented with practical hands-on training in the field. Crucial to the training will be the follow-up visits by the Field Coordinators (FC), to allow the 宅男福利社|宅男频道|宅男福利社|宅男社 to benefit from one-to-one sessions where addressing of specific queries and practical implementation of the training can take place.