PALMOILMAGAZINE, BANDUNG — Oil palm is not merely an industrial crop—it is a living organism full of potential, hard work, and sensitivity, deserving care much like humans. Though the plant cannot speak, it “responds” to how it is treated. When nurtured properly, it rewards growers with abundant harvests.
From the seedling stage, palm trees require careful nurturing like an infant. By their first year in the field, they enter the immature phase (TBM), equivalent to a toddler stage. By the fourth year, palms begin bearing fruit and continue to produce for up to 25–28 years. During these productive years, the trees “communicate” their needs—what nutrients they require, what diseases affect them, and how to help them yield more fruit.
Economically, a palm’s productive lifespan is about 25 years. In its youth (10–15 years), yields can reach 25–30 tons of fresh fruit bunches (FFB) per hectare annually. At maturity (15–20 years), output can rise to 45 tons, and even at old age (20–25 years), yields may still reach 30–35 tons. Unfortunately, this vast potential often goes untapped due to poor management practices.
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Many plantation owners focus solely on harvesting without understanding the plant’s characteristics, resulting in far lower yields—only 7–10 tons per hectare per year compared to the potential 40 tons. Such poorly managed plantations make up an estimated 30% of total oil palm acreage, or around 5 million hectares, with oil yields of only 2–2.5 tons per hectare annually.
Well-managed plantations account for just 30% of total area, averaging 5 tons of oil per hectare annually. Only about 5% of plantations reach yields above 7 tons, while roughly 35% fall into a “gray zone” of inconsistent maintenance. Consequently, Indonesia’s national average remains at 3 tons of oil per hectare per year—far below the potential 11 tons.
This inefficiency harms everyone—farmers, businesses, and government alike. Lower yields mean reduced income, less tax revenue, and weaker regional economic circulation. Local governments should immediately map plantation productivity—identifying which are well-managed, poorly maintained, or neglected. Such mapping can help determine whether low productivity stems from technical and managerial limitations or deliberate neglect.
For plantations lacking technical capability, training and assistance programs are essential. Alternatively, underperforming lands could be managed by state-owned plantation companies with proven expertise. If 5 million hectares of neglected land were properly managed, national productivity could increase dramatically.
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The government must also implement a targeted fertilizer subsidy program. Data show that such subsidies are not a financial burden but a productive investment. With an allocation of IDR 92 trillion for subsidized fertilizers, potential tax revenue could rise to IDR 188 trillion. In just one year, the subsidy could repay itself—while generating an additional IDR 677 trillion in regional economic circulation, totaling IDR 1,230 trillion across 26 palm oil-producing provinces.
However, improving productivity requires more than just fertilizers. The adoption of root and leaf management technology is crucial to enhance nutrient absorption efficiency. With proper root management, fertilizer use becomes more efficient, nutrient uptake improves, and productivity can rise significantly.
Some analysts have expressed pessimism, even calling the B-50 biodiesel program a “death knell” for the palm oil industry. But such views are overly pessimistic. With improved management and the support of fertilizer subsidies, B-50 could instead become a turning point for Indonesia’s green energy resurgence.
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Indonesia still has around 3.5 million hectares of licensed but unplanted land, and about 4 million hectares of stagnant plantations due to poor management. If these areas are optimized, palm oil could serve not only as an economic driver but also as a cornerstone of national energy resilience through bioenergy.
It is time for the government to move from discussion to decisive action. Fertilizer subsidies and root technology innovations are not mere technical aids—they are national strategies to restore Indonesia’s palm oil glory, a sector that has long stood as a backbone of exports, employment, and sustainable energy. (*)
By Memet Hakim — Social and Plantation Analyst
Disclaimer: The views expressed are those of the author and do not necessarily reflect those of beige-heron-208544.hostingersite.com.
