The Indonesian Chamber of Commerce and Industry has made an offer of partnership for the welfare of farmers and fishermen. The partnership model is needed to materialize prosperity quickly.
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The Indonesian Chamber of Commerce and Industry (Kadin) has made an offer of partnership for the welfare of farmers and fishermen. The partnership model is needed to materialize prosperity quickly.
Kadin made the offer in the fourth Jakarta Food Security Summit 2018 in Jakarta. A successful example is a partnership in the development of oil palm plantations. Farmers get market certainty because their products are absorbed by partner industries as well as being accompanied for the application of good cultivation system and guarantee of low-interest capital access.
The Partnership for Indonesia\'s Sustainable Agriculture (PISAgro) introduced in 2011 accommodates the partnership with seven national and multinational companies operating in Indonesia as the founders.
By 2017 it involved 387,089 smallholders and also 230,182 farm households outside the partnership with rice commodities. Well-managed land accounted for 259,433 hectares and 60 companies became partners.
The partnership program was introduced in the World Economic Forum 2010 as it saw food demand rising rapidly, with the world\'s population expected to reach 9 billion by 2050. Currently, out of 7 billion people, 870 million people suffer from chronic hunger.
Providing food for such a large population requires substantial changes to how to produce food to ensure that production, distribution and nutrition targets are met. It must be kept in mind that the demands for food production occur in conditions where there is increasingly limited land and water, low access to credit by farmers and fishermen, climate change and fluctuations in food and commodity prices.
Through the New Vision, initiated by partners and members of the World Economic Forum, food and nutrition security are integrated, preserving the environment and maintaining sustainable economic opportunities with the goal of improving by 20 percent every decade until 2050.
The real achievement of PISAgro at present in increasing productivity and farmers\' income up to 80 percent can be multiplied if engineering is not only on technical aspects but also, to a certain extent, on the financial aspect.
In the midst of these efforts, we are still witnessing a real imbalance between farmers and partner companies. The meaning of partnership needs to be sharpened, namely besides benefiting equitably so that sustainable partnership, mutual benefit and food production are achieved, and a social capital of society is built.
The government needs to facilitate the substantial changes through a set of regulations, not simply hand over to the partner companies what the government must do.
Looking at recent developments, the partnerships should be interpreted as economy sharing to enable prosperity to be more equitable and equitably distributed. This can be carried out because there have been several successful examples, one of which is Felda Global Holdings Berhad in Malaysia, the world\'s largest crude palm oil producer, which involves more than 10,000 farmers.