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Indonesia Stepping Up Efforts to Improve Oil Palm Yields

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Indonesia will increase efforts to implement oil palm replanting technology to improve oil palm yields. Recall that Indonesia launched a subsidized oil palm replanting program for small landowners five years ago in an attempt to increase oil production without cutting down forests.

Thus, since the program began in 2017. Indonesia planned to replant 2.4 million hectares under oil palms by 2025. However, the slow implementation of this program forced authorities to adjust the goal in 2019 to 180 thousand hectares per year, but it was also not achieved. Between 2017 and now, a total of about 278,000 hectares of oil palm have been replanted in Indonesia.

In this regard, the Indonesian Ministry of Economy said that the annual target of 180,000 hectares should be reached in 2023, for which the requirements for the replanting scheme have been simplified, and called for better coordination on this issue and increased involvement of private companies.

It is expected that if these plans are implemented, Indonesia’s current average oil palm yield of 2.5 t/ha could increase to 6-8 t/ha.

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