Plantations
Annual crop growth 11% in a decade to 2023
The Group’s plantations are spread across five Indonesian provinces: North Sumatra, South Sumatra, Aceh, Bangka-Belitung and East Kalimantan. Our oldest plantations are in North Sumatra and Aceh with newer projects developed in East Kalimantan, Bangka-Belitung and South Sumatra since 2005.
The Group has been through a period of substantial investment in all its Indonesian oil-palm estates. All planting and upkeep is undertaken in accordance with sustainability standards and under the careful supervision of the Group’s expert agronomic management team. At the end of 2023, the Group managed and harvested over 65,000 hectares planted to oil palm across Indonesia.
The oil palm has a lifespan of approximately 25 years, reaching its maximum yield when it is about ten years old, remaining highly productive for several years thereafter. At the end of 2023, the average age of the Group’s palms was ten years, with a combination of some palms at their highest yield and some at a younger age and continuing to increase in productivity. The Group’s average annual crop increase in the last decade has been 11%.
The Group manages a significant amount of plantation land which is owned by the local community.
Of the 65,000+ hectares managed by the Group, more than 15,000 hectares are owned directly by members of the local communities around the Group’s estates. These are referred to as ‘scheme-smallholder’ arrangements, and the scheme smallholders contract with the Group to manage and harvest those areas. The Group purchases the crop at a fair and transparent and regulated price. The crop is of the same high quality as that from the areas owned directly by the Group and is sent to the Group’s mills for processing into crude palm oil and palm kernels.
All crop harvested by the Group or its associated smallholder co-operative schemes is traceable to a specific field.
Analysis of planted areas
| 31 December 2023 | Mature (Ha) | Immature (Ha) | Total planted (Ha) |
|---|---|---|---|
SubsidiariesKota Bangun Bangka Pangkatan group Bumi Mas Musi Rawas Simpang Kiri Nusantara Total |
13,844 6,151 6,427 7,278 5,537 4,019 2,225 45,481 |
443 – 539 215 1,925 486 505 4,113 |
14,287 6,151 6,966 7,493 7,462 4,505 2,730 49,594 |
AssociatesKerasaan |
1,994 |
328 |
2,322 |
MemorandumGroup share of subsidiaries’ land |
43,275 |
3,969 |
47,244 |
Scheme smallholdersKota Bangun Bangka Pangkatan group Bumi Mas Musi Rawas Simpang Kiri Nusantara Total |
5,652 3,881 383 1,351 2,537 61 588 14,453 |
35 – 708 87 332 193 60 |
5,687 3,881 1,091 1,438 2,869 254 648 15,868 |
Scheme smallholder co-operatives
Smallholder co-operative schemes attached to the Group's projects have been developed, operated and certified by us.