InfoSAWIT, JAKARTA – The Indonesian palm oil industry faces a myriad of complex challenges in recent years—from climate change pressures, increasingly stringent environmental regulations, to government policy interventions. However, amidst these challenges, a strategic solution is emerging: digital transformation.
This was emphasized by the Chairman of the Indonesian Society of Planters (IPS) during the opening of the Planter Webinar titled “Digital Transformation for Efficiency in Palm Oil Plantations and Processing,” held online on Saturday (June 14, 2025), featuring various cross-sector speakers. He stated that digitalization is not just a trend but an urgent necessity to ensure the efficiency and sustainability of the national palm oil industry.
“Digital technology can optimize cultivation processes, enhance productivity, and reduce environmental impacts. This is no longer an option but a necessity,” he asserted during the Planter webinar attended by InfoSAWIT.
The digital transformation, he continued, begins with cloud-based data management—where data on soil conditions, weather, and plant health can be collected in real-time. This information is crucial for farmers to determine the right timing for planting, fertilizing, and harvesting. On the other hand, drone technology and sensors enable comprehensive monitoring of crops from the air, allowing for early detection of pest or disease attacks quickly and efficiently.
Technology also plays a vital role in building supply chain transparency. Through blockchain, every stage in palm oil processing can be accurately traced, thereby increasing global consumer trust in Indonesian palm oil products.
However, the IPS Chairman stressed that digital transformation is not just about technology; it also involves a shift in mindset and work culture. “We need to equip human resources—especially farmers in remote areas—with training and education so they can maximize the use of technology,” he said.
To this end, IPS has introduced a new working unit called Diklatsi (Education, Training, and Certification), focusing on internal training and certification. During this opportunity, IPS partnered with several organizations, including the Indonesian Digital Transformation Institute (ITDI), to deliver intensive digitalization materials through specially designed webinars for planters working in remote areas.
Prof. Suhardi from ITDI added that digital transformation in the palm oil sector has entered four main stages: mechanization, automation, digitalization, and smart farming. At the highest stage, artificial intelligence technology is utilized to assist in rapid and intelligent decision-making processes, including monitoring, evaluation, and continuous improvement.
“Digitalization helps us transition from physical interactions to more efficient and measurable digital interactions. This will lead to reduced production costs and increased competitiveness,” he explained.
According to Prof. Suhardi, the necessary technology is already available—from internet-based software, IoT devices and sensors, to data analysis and machine learning. The challenge now is how to integrate biological systems in plantations with digital systems, creating a synergy that promotes sustainability and profitability.
He quoted an adage that serves as a guiding principle at ITDI, “Transform or die.” He noted that industries that do not adapt to technology will fall behind. “Digital transformation is not about when, but how quickly we move,” he concluded.
Through cross-sector collaboration and ongoing education, IPS hopes that digital transformation can be widely adopted down to the level of farmers. This webinar was described as “a sip of water in the desert” by the IPS Chairman, especially for planters eager for new knowledge but hindered by access to conventional training.
With this spirit, the Indonesian palm oil industry seems to be stepping into a new era—one that is more precise, transparent, and sustainable through the power of digital technology. (T2)
