JAKARTA \u2013 The government is pushing for the application of a modern and integrated system of palm oil tracing as part of its strategic efforts to make Indonesian palm oil more competitive at the global market. The digital system is designed to improve transparancy and sustainability of Indonesia\u2019s palm oil supply chain from the plantations to export markets.<\/p>\n
The tracing system was revealed in a progress report presented by the team of Indonesian Sustainable Palm Oil (ISPO) to Economic Coordinating Minister Airlangga Hartarto on Thursday (22\/05\/2025).<\/p>\n
Minister Airlangga stated that the digital-based information system is an important part of the reform agenda of the governance of sustainable palm oil. “The tracing system is not only a tool for tracking, but also evidence that we\u2019re serious in managing palm oil responsibly and sustainably. This will certainly strengthen the position of Indonesian palm oil at the global market,” said Airlangga.<\/p>\n
According to him, the success of the system will be very dependent on simple design, easy to use, and inclusive for all stakeholders \u2014 from smallholders, to big business players, regional governments, and independent monitors.<\/p>\n
He said that its main goals will be missed if the tracing system is too complicated. \u201cThe system will cover information on certification, location of plantations, environmental compliance, and flow of distribution. The technology used in the system will enable the tracing of the commodity from initial point of production until end consumers at domestic market and foreign market.<\/p>\n
Airlangga also underlined the importance of collaborations between ministries\/institutions, industrial players, academicians, and the third parties involve in making the system implementation a success.<\/p>\n
Besides functioning as operational aid, the tracing system is expected to be in line with the national sustainability roadmap of Indonesian palm oil industry, which is being designed.<\/p>\n
“Our palm oil is our nation\u2019s strategic asset. With strong and transparent governance, we can ward off negative accusations and expand our market access,” he added.<\/p>\n
The development of the tracing system is part of the government\u2019s long term strategy to ensure that Indonesian palm oil is not only economically productive, but also in compliance with the globoal ethical and environmental standards, which are increasingly stringent. (*)<\/p>\n","protected":false},"excerpt":{"rendered":"