InfoSAWIT, SUNGAILIAT – The Bangka Regency Government has issued a stern warning to PT Sawindo Kencana, demanding immediate action to resolve longstanding debts tied to the Smallholder Palm Plantation Development Program (KKSR). Failure to comply could result in the revocation of the company's operating permit.

Bangka Regent Fery Insani delivered the ultimatum during a meeting aimed at accelerating the settlement of KKSR-related loans affecting local oil palm farmers.

The company has been given two weeks to attend formal discussions and reach an agreement regarding amendments to existing KKSR arrangements.

Fery criticized the company's repeated absence from meetings organized by local authorities, saying the lack of engagement had hampered efforts to find solutions for affected farmers.

"The regional government has consistently opened channels for dialogue, yet company leaders have never attended these meetings directly," he said.

If no progress is made within the stipulated timeframe, the regency administration plans to propose the revocation of the company's business permit.

The Bangka administration also intends to report developments to the Governor of Bangka Belitung Islands to secure provincial support in pursuing a fair resolution.

Responding to the ultimatum, Pradana Simanungkalit, Legal and Public Relations Manager of PT Sawindo Kencana, said the company remained open to dialogue and would relay the meeting's outcomes to senior management.

The dispute has become a major concern due to its implications for smallholder livelihoods and the legal certainty surrounding plantation partnership schemes. (T2)