Invaded Palm Oil: Revealing the Myth of the Impact of the Palm Oil Industry for the Economy
Does palm oil really provide welfare for the community? Because, most of the palm oil can not prove that oil palm provides comprehensive welfare to the community. This fact was revealed by the Madani team Sustainable in “Exciting Discussion Every Wednesday About Palm Oil Governance” (Invaded Palm Oil) on Wednesday, March 11, 2020, in South Jakarta.
Madani Sustainable found that out of 10 provinces in the country with the average addition of the largest oil palm area, found only 3 of them managed to improve the welfare of their rural communities at a fairly satisfactory level. The three areas are Riau Province, East Kalimantan, and Jambi.
However, not fully the welfare achieved by the communities in the three areas is the fruit of the economic activity of palm oil companies. Call it Riau, the area with the largest oil palm expansion in Indonesia, in fact only has 44.2% of rice fields and the remaining 55.8% of unsalted villages. More surprisingly, East Kalimantan has only 27.7% of rice fields and 72.8% is not sick. While Jambi, has 22.8% of sapling villages and the rest
77.2% of villages are unsettled.
Rubber and coconut commodities are another excellent commodity that is used by the people of Riau to boost their economy. The production of the commodity in 2018 was recorded at 400 thousand tons / year. Commodities are also used by East Kalimantan with production in 2017 recorded reaching 65 thousand and 13 thousand tons. While Jambi chose to utilize rubber and cinnamon as one of the leading commodities to boost its economy. The production of the commodity in 2018 was recorded at 300 thousand and 60 thousand tons.
