InfoSAWIT, JAKARTA - Pujuh Kurniawan, Indonesia Sustainability Lead, Group Sustainability at Wilmar International, emphasized the importance of good governance and certification in enhancing the income and welfare of palm oil farmers. He stated that there are three main factors that must be considered in the palm oil industry to automatically improve farmers' welfare.

"Besides using the right techniques with superior varieties, switching to tenera palm oil can enhance yields. However, fertilization and governance also play a crucial role in increasing productivity," said Pujuh Kurniawan during a Buka Puasa Bersama with the media attended by InfoSAWIT in Jakarta on Friday (March 7, 2025).

He explained that Wilmar's programs show that market access is one of the main factors desired by farmers. However, when surveyed, the first priority for farmers was improving prices and certification as the top priorities for increasing their income.

"We see an interesting pattern where farmers are more interested in better prices and certification compared to new business models offered, such as in the Sakato Jaya Lestari Cooperative. Therefore, we are developing various business schemes to ensure quality improvement and farmers' welfare," he continued.

One of the models developed focuses on enhancing production quality and better sales of harvests. This program also rewards farmers who can maintain the quality of their production.

However, Pujuh emphasized that efforts to improve farmers' welfare cannot rely solely on price incentives. "There must be a balance in organization, governance, and understanding of product quality. This way, farmers not only receive better prices but also enhance their competitiveness in the market," he concluded. (T2)