Indragiri Hulu, 25 June 2025 — To bolster national food security and improve smallholders’ livelihoods, Asian Agri has launched its inaugural upland rice planting in Sungai Beras-Beras Village, Lubuk Batu Jaya District, Indragiri Hulu Regency, Riau. The project, carried out in partnership with the Karya Tani cooperative (KUD), spans 20 hectares of land that is currently undergoing palm-oil replanting.
The initiative is part of a 552-hectare oil palm replanting program led by KUD Karya Tani, fully funded by the Palm Oil Plantation Fund Management Agency (BPDPKS). As a strategic partner, Asian Agri is not only supporting the replanting process but also encouraging productive use of the land during the waiting period before the new oil palm trees begin to bear fruit.
“Through this collaboration, we want to show that sustainable practices can go hand in hand with improving smallholders’ livelihoods. This upland rice planting is proof that palm oil and food crops can grow side by side,” said Deputy Head of Smallholder Management of Asian agri Edy Sukamto.
Upland rice was chosen because it grows well on dry land and can be cultivated between young oil palm trees. In addition to serving as a food source, the program offers an alternative income stream for scheme smallholders during the replanting period, which can last up to three years.
Edy said the program is part of Asian Agri’s long-term commitment to supporting its partner smallholders in a sustainable way. “We’re not just talking about palm oil productivity,” he said. “We’re also working to help smallholders become economically independent and ensure our partner villages contribute to national food security.”
In line with this vision, the planting of dryland rice on replanting areas represents a tangible contribution to the government’s Independent Food Program. Amid global challenges such as the climate crisis and dependence on food imports, optimizing these lands allows smallholders to remain productive without having to wait for oil palm trees to mature and produce again.
Indragiri Hulu Regent Ade Agus Hartanto expressed his appreciation for the launch of a 20-hectare upland rice planting initiative, calling it a valuable step toward strengthening local food security and creating new economic opportunities for farmers.
“This program not only reinforces local food resilience, but also opens new economic prospects for farmers,” Ade said during the event.
He noted that this marks the first upland rice planting in Indragiri Hulu under a cross-sector partnership model. “The local government is ready to support this initiative, including facilitating applications for subsidized fertilizer in the future. We also hope that the second phase of the replanting program will continue in partnership with Asian Agri,” he added.
The spirit of collaboration was evident with the attendance of local government officials, representatives from the Indonesian Oil Palm Estate Fund (BPDPKS), community leaders, and plasma farmers supported by Asian Agri at the planting event.
Through this integrated approach, Asian Agri reaffirmed its commitment to sustainable agriculture. The initiative reflects the company’s Asian Agri 2030 vision, particularly its first pillar—Partnership with Farmers—which aims to double partner farmers’ income through replanting programs.
About Asian Agri
Founded in 1979, Asian Agri is one of Indonesia’s foremost companies in crude palm oil production, managing over 100,000 hectares of oil palm plantations and employing over 20,000 people.
As a pioneer of the Indonesian Government’s Smallholder Transmigration Core Plantation Programme (PIR-Trans), Asian Agri has partnered with 30,000 scheme smallholders in Riau and Jambi, who collectively manage 60,000 hectares of oil palm plantations. The company also fosters partnerships with independent smallholders to enhance their welfare and drive socio-economic growth.
Committed to sustainable practices, Asian Agri upholds a zero-burning policy and implements plantation best management practices to help smallholders boost productivity, increase crop yields, and improve supply chain traceability while supporting their journey towards certification. Asian Agri’s mills leveraged advanced technology and self-generated green energy to minimize greenhouse gas emissions.
Asian Agri’s plantations, as along with their scheme smallholder plantations, are full Roundtable on Sustainable Palm Oil (RSPO) and International Sustainability & Carbon Certification (ISCC) certified, underscoring the company’s commitment to responsible and sustainable palm oil production.
Please visit Asian Agri’s website for more information and media inquiries may be directed to:
Corporate Communication, Asian Agri
E-mail: communications@asianagri.com
