The Ministry of Industry continues to enhance the added value and competitiveness of Indonesia’s palm oil industry through downstreaming policies focused on five key sectors: palm cooking oil, oleofood (edible fats), oleochemicals, phytonutrients, and biomass/biomaterials. One tangible step is the facilitation of a Cooperation Agreement (PKS) between PalmCo/PTPN IV and the Gerak Nusantara Producers Cooperative (KPGN), signed at the Adolina Palm Oil Mill in Serdang Bedagai, North Sumatra. This agreement is the operational follow-up to a previous MoU witnessed by members of Commission VII of the Indonesian Parliament during their recess visit to the region.
A notable innovation promoted by the Ministry is the use of palm trunks during replanting periods to produce palm sap,which is rich in natural sugar and can be processed into high-quality palm sugar. In regions like Serdang Bedagai, the number of palm sap artisans is growing, highlighting its economic potential for smallholders. To support this, efficient management systems and partnerships between farmers and artisans are encouraged, with estimated investments starting at IDR 25 million per hectare. With average yields of 6.8 liters of sap per tree per day, farmers can earn a net income of IDR 18–25 million, contributing significantly to local and national economic welfare.
