Sustainability Analysis of Palm Oil as Implications for Price Decreasing of FFB Sei Kepayang Region

Abstract

The price of oil palm is a challenge posed by oil palm farmers at the moment, a decrease in the price of oil palm can be calculated by blocking from abroad the Indonesian CPO, opening new land and increasing the current budget of the price of oil palm to be very cheap when compared to the previous 2 years. This cheap price has an impact on reducing the allocation for plant maintenance which will also have a direct impact on quality and will have another impact. For this reason, research on the impacts of oil palm on sustainability is needed and factors that can be proposed for improvement. This research uses SSM, AHP and ISM methods to get more complete results. SSM research results indicate the need for improvements to infrastructure to transport oil palm yields, a guarantee of the selling1 price of FFB and improvement in the quality of human resources of oil palm farmers is very necessary. ISM results show government, farmer groups, farmer groups, and cooperatives can join together to improve the quality of oil palm products, join together to send crops directly to PKS to get better prices with the support of cooperatives and local governments. Further research from this research is the formation of models that are produced according to ISM results.