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Indonesia Govt expects CPO production to rise to 40 mln tons in 2020

JAKARTA (Rambu Energy) – The Indonesian government expects the crude palm oil (CPO) production will increase to 40 million tons per annum in 2020, from expected 29.5 million tons this year, a senior official at the Forestry and Environment Ministry said.

Expert staff of the Forestry and Environment for Forestry Security Basuki Karya Atmaja was quoted by the state news agency Antara as saying that the increase is driven by the growing demand for CPO in the world in line with the world’s economic growth and expansion of the world’s population.

The world’s population is predicted to rise to 7.7 billion people in 2020 from 6.9 billion at end 2010, he noted.

Observers have said that the demand for CPO will continue to rise, trigger by rising domestic demand as well as increasing demand for biofuel, which uses CPO as raw material.

He said that although the demand for CPO will continue to increase, Indonesia must pay attention on the environment preservation. “We have to assure that environment is preserved. Green economy must be implemented,” he said.

In 2013, the palm oil plantation in Indonesia reached 44 percent of total plantation area in Indonesia, which reached 10 million hectares. Majority of the palm oil plantation area is located in Sumatera with total area of 6.4 million hectares, followed by Kalimantan (3.2 million hectares). The remaining palm oil plantation areas are located in Sulawesi, Maluku, Papua and Java Islands.

Indonesia and Malaysia are the two largest producers of crude palm oil in the world.

Meanwhile, the Head of Greenpeace Indonesia Longgena Ginting said that the world economic trend going forward is the sustainable development of limited natural resources.

Longgena made the statement amid ongoing criticism from non-government organizations as well as some western countries, which accused Indonesia to have damaged the forest by way of clearing lands illegally or not in sustainable ways.

Farmers which develop small-size palm oil farms need to be educated so that they also manage palm plants in sustainable ways and effectively. (*)

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