One of the Smallholder groups, the Karya Sawit Mandiri Jaya (KSMJ) Secondary Cooperative in West Kotawaringin, Central Kalimantan, is in the process of building a Crude Palm Oil (CPO) mill with a capacity of 30 tons per hour. This mill construction aims to increase added value and improve the welfare of smallholders in the West Kotawaringin area of ​​Central Kalimantan.

The Chairperson of the KSMJ Secondary Cooperative, Sutiyana, stated that as a secondary cooperative engaged in oil palm plantations, KSMJ is committed to implementing sustainable practices and increasing production efficiency. To strengthen downstream production, including CPO, KSMJ, in collaboration with FORTASBI, continues to strengthen certification in West Kotawaringin, Central Kalimantan. This will ensure that all processed fresh fruit bunches (FFB) come from certified plantations or smallholders.

KSMJ has successfully developed a business plan for the construction of a palm oil processing plant with a capacity of 30 tons per hour, including long-term financial projections as a basis for business development and financing exploration. KSMJ has been continuously working to qualify for private sector funding. In addition, KSMJ hopes to access assistance from Badan Pengelola Dana Perkebunan (BPDP) for Production Processing Units (UPH), specifically production machinery. This production machinery will be included in capital expenditure (capex) and operational expenditure (opex) in the form of working capital.