Koltiva Assist PT REA Kaltim to Empower Independent Oil Palm Producers
- Vega Welingutami
- 1 hour ago
- 3 min read
This article is adapted from:
https://www.infosawit.com/2025/02/10/rea-kaltim-plantations-perkuat-pemberdayaan-petani-sawit-swadaya-lewat-program-shines/
Koltiva, a leading agritech company specializing in supply chain traceability and sustainable agricultural solutions, has signed a Memorandum of Understanding (MoU) with PT REA Kaltim Plantations to implement the SmallHolder Inclusion for Ethical Sourcing (SHINES) program.
This strategic collaboration aims to empower independent oil palm producers by enhancing their income opportunities while ensuring compliance with global sustainability standards.
Through the SHINES program, PT REA Kaltim, with the assistance from Koltiva, will support five producers' institutions under PT REA’s guidance, reinforcing a sustainable and inclusive palm oil industry. The program is designed to address key challenges faced by independent smallholders, including compliance with evolving market regulations, financial stability, and best agricultural practices.
Bremen Yong, Group Chief Sustainability Officer of PT REA, emphasized the importance of this initiative in strengthening community empowerment, expanding market access, and promoting sustainable plantation practices.
“PT REA has actively trained farmers to enhance their skills, including motorcycle repair training for youth, teacher training programs, and various other community-based economic initiatives,” Bremen stated.
Structured Approach for Long-Term Impact
The SHINES program follows a structured three-phase approach to ensure long-term impact and compliance:
Producer Data Collection: Koltiva conducts polygon mapping and baseline assessments to establish a comprehensive understanding of smallholder agricultural practices and productivity levels.
Risk Mitigation & Legality Support: The program facilitates access to land legality documentation, ensuring producers meet regulatory requirements and secure long-term operational stability.
EUDR Compliance Implementation: Leveraging advanced digital solutions, Koltiva supports continuous monitoring of EU Deforestation Regulation (EUDR) adherence, providing transparency and traceability across the supply chain.
By integrating these steps, the SHINES framework not only ensures regulatory compliance but also enhances producer's resilience against market fluctuations and future policy changes.
Supporting Palm Oil Producers Towards Certification
The SHINES initiative also focuses on equipping both individual producers and producer groups with practical skills to improve cultivation techniques, increase yields, and create sustainable income opportunities.
“We guide producers in obtaining Roundtable on Sustainable Palm Oil (RSPO) and Indonesia Sustainable Palm Oil (ISPO) certification by ensuring they understand and implement the required sustainability standards,” Bremen added.
Participating institutions include Koperasi Perkebunan Belayan Sejahtera, Koperasi Perkebunan Gotong-Royong, Koperasi Perkebunan Tunas Harapan, Koperasi Perkebunan Bina Wana Sejahtera, and Koperasi Karya Penoon. By fostering knowledge-sharing and strengthening institutional capacities, this collaboration enables smallholders to access premium markets, including the European Union and other global buyers.
Long-Term Commitment to Community Development
Beyond regulatory compliance and capacity building, PT REA Kaltim committed to community development initiatives, including scholarship programs for producers’ children pursuing higher education. This initiative helps reduce financial burdens on farming families while opening pathways to quality education and professional growth.
“These long-term commitments are crucial in improving the well-being of communities surrounding our operations,” Bremen noted.
Government Endorsement and Industry Collaboration
Taufik Zulfian Noor, Acting Head of the Cooperatives and SMEs Office of Kutai Kartanegara Regency, welcomed PT REA’s initiative to organize independent farmers into strong cooperative institutions.
“We fully support PT REA Kaltim’s efforts to advance cooperatives and independent oil palm producers, as they are key players in Indonesia’s SME sector and a focus of various government programs,” Taufik stated.
Meanwhile, Suhartono, Acting District Head of Kembang Janggut, emphasized the importance of supporting independent farmers in accessing global certification schemes.
“We hope this program will assist producers and cooperatives in obtaining certification schemes that align with global market requirements,” he concluded.
With the MoU officially in place, SHINES activities have commenced in early 2025, covering land mapping, capacity building, and legal documentation support for smallholder producers. Through this partnership, the stakeholders reaffirm their shared commitment to creating a more sustainable and inclusive palm oil sector.
