Labuhanbatu, September 20, 2023 – Asian Agri, one of Indonesia’s largest palm oil plantation companies, renowned for its dedication to sustainable practices, is actively pursuing a long-term commitment outlined in the Asian Agri 2030 (AA2030) initiative. This commitment comprises four strategic pillars, with a significant focus on inclusive growth, aimed at improving the quality of life for communities around their operational areas by supporting Micro, Small, and Medium Enterprises (MSMEs) and facilitating access to quality education.
In this context, Asian Agri, through its business units, PT Supra Matra Abadi Kebun Aek Nabara (PT SMA-KAN) and PT Indo Sepadan Jaya (PT ISJ), has stepped up to provide school supplies and economic assistance to promote the growth of MSMEs and enhance education in two villages, namely Perbaungan Village in Bilah Hulu Sub district and Kampung Padang Village in Pangkatan Sub district, Labuhanbatu Regency, North Sumatra.
“Our activities in supporting MSMEs and quality education today reflect the company’s commitment to fostering entrepreneurship and education,” the Regional Control at Asian Agri Sumut, Herman Sembiring said during his speech at the Bilah Hulu Subdistrict Office on Tuesday, September 19, 2023.
“We have provided business equipment assistance to two entrepreneurs from Perbaungan and Kampung Padang Villages. In the education sector, we have supplied school equipment packages to 30 students at the primary, junior high, and senior high school levels in these two villages.”
Herman further elaborated, “Our plans for this year involve continuing to provide education packages to 44 students and 3 entrepreneurs in three villages through PT SMA-KAN and PT ISJ. In 2022, Asian Agri in North Sumatra conducted similar activities, providing assistance to 74 students, 2 Educational Package C (Kejar Paket C) candidates, and support to 4 MSMEs, including banana chip producers, biofloc pond fish farmers, cattle farmers, and duck farmers. This demonstrates the company’s sincere commitment to realizing the AA2030 objectives.”
Asian Agri’s HRD Manager, Hendra Kusuma, emphasized that the recipients of MSME and education assistance have been carefully coordinated with relevant authorities, including the village government and schools, to ensure the aid reaches those in need.
“The criteria for receiving educational assistance include students from primary, junior high, and senior high schools whom we have confirmed with the schools and villages as being in less fortunate circumstances. As for MSMEs, we work in coordination with the village authorities to identify those with a willingness to advance. Ten percent of their profits will be given back to the village for further distribution to less privileged residents,” Hendra explained.
The Bilah Hulu Subdistrict Head, Muhammad Kamisdan Ritonga, and the Pangkatan Sub district Head, Datar Sirait, expressed their deep appreciation for Asian Agri’s strong commitment to education and MSMEs.
“We are truly grateful for Asian Agri’s concern for our community, especially for students and MSME entrepreneurs. The aid recipients have been thoughtfully selected based on specific criteria and considerations. My message to them is to make the most of this support, dream big, and work towards those dreams. Discipline and determination should be integral to their daily lives. Let them grow and develop into a generation that contributes positively, respects parents and teachers. With the grace of God, their aspirations will come to fruition. We also hope that Asian Agri continues to thrive and achieve even greater success,” stated the Bilah Hulu Sub district Head, Muhammad Kamisdan Ritonga.
Asian Agri’s CSR Coordinator in North Sumatra, Aris Yuneidi outlined the support provided to promote MSME development, including equipment such as mixers, sealers, gas stoves, and more for pastry entrepreneurs in Perbaungan Village, and support like house renovations, electrical installations, air conditioning, hair cutting machines, and others for hairdressers in Kampung Padang Village.
Herman also explained, “As for the education assistance provided to primary, junior high, and senior high schools, it includes school uniforms, school shoes, school bags, writing materials, and educational support materials.”
About Asian Agri
Asian Agri is one of Indonesia’s largest palm oil producers. Founded in 1979, the company today manages 100,000 hectares of plantation land and employs over 20,000 people. A pioneer of the Indonesian government’s Trans-National Government Migration (PIR-Trans) program, Asian Agri currently works with 30,000 Scheme smallholders in Riau and Jambi who operate 60,000 hectares of oil palm plantations, and independent smallholders who manage more than 39,000 hectares.
Implementing a strict “no burn” policy since 1994 and best practices in sustainable plantation management, Asian Agri has helped its smallholder partners improve productivity, yield and supply chain traceability, while assisting them obtain certifications. The company’s mills are technologically advanced and energy self-sufficient, minimizing greenhouse gas emissions.
All business units of Asian Agri has the Indonesian Sustainable Palm Oil (ISPO). Currently, all Asian Agri’s plantations in North Sumatra, Riau & Jambi provinces and Scheme smallholder plantations in Riau & Jambi provinces have been 100% RSPO (Roundtable on Sustainable Palm Oil) certified. In addition, ISCC (International Sustainability & Carbon Certification) has been achieved by all plantations owned by Asian Agri and the smallholders it supports.
The company’s operations (CPO mills and KCPs) are ISO 14001 certified, while its Learning Institute and nursery research center in Pelalawan, Riau province, Indonesia are both ISO 9001 certified. Asian Agri’s laboratory at the Center for Research and Development in Tebing Tinggi is accredited by the National Accreditation Committee under the ILAC Mutual Recognition Arrangement (ILAC MRA).
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