Published in Scientific Papers. Series "Management, Economic Engineering in Agriculture and rural development", Vol. 24 ISSUE 3
Written by Zahraturrahmi ZAHRATURRAHMI, Vecdi DEMİRCAN
This study aims to reveal the complex structure of Indonesian palm oil export companies. Primary data were obtained from a survey of 15 palm oil export companies in Indonesia. The survey was conducted through in-depth interviews. The list of companies surveyed was obtained through the Indonesian Palm Oil Research Center (PPKS) with a purposive sampling method. Based on the research results, 13.13% of palm oil export companies are state-owned enterprises (PTPN), and 86.67% are limited liability companies (LLC). 80% of the companies are involved in production, 93% are involved in processing, storage, and packaging, and 100% sell products domestically and export. The survey results show that 93% of the companies have the Roundtable on Sustainable Palm Oil (RSPO) certification, which aims to ensure responsible, environmentally, and socially friendly palm oil production. 66% of the companies have received ISO certification, confirming the quality and efficiency of management systems following international standards. Based on the research results, 93% of companies export to China, 86% to India, 66% to the USA, and 60% to the Netherlands, Germany, Singapore, and Vietnam. Palm oil companies face various problems, such as climate issues, high fertilizer prices, export restriction policies by the government and importing countries, and negative campaigns by NGOs on palm oil. Solutions implemented by the company include careful planning of fertilization, management of raw material purchases, market diversification, active participation in industry associations, and compliance with national and global palm oil sustainability standards.