COORDINATING MINISTRY FOR ECONOMIC AFFAIRS

REPUBLIC OF INDONESIA

“Progress of the
New ISPO Implementation”

Dr. Ir.Musdhalifah Machmud, MT.

Deputy Minister for Food and Agribusiness Coordination

1 December 2021
 The Indonesian Sustainable Palm Oil (ISPO)
KEMENTERIAN
KOORDINATOR BIDANG

Regulation of the President number 44/2020 (progmulated 16 March 2020)

PEREKONOMIAN
REPUBLIK INDONESIA

regarding the Certification System of the Indonesian Sustainable Palm Oil (ISPO)

Objectives Implementing Regulation

A to ensure and improve the management
and development of Oil Palm Plantations in
accordance with ISPO principles and criteria;
B to improve the acceptance and
competitiveness of Indonesian Palm Oil
Plantation Results in the national and
international markets; and
C to improve efforts to accelerate the
reduction of greenhouse gas emissions.
The Regulation of the Coordinating Minister
for Economic Affairs (Nr.10/2020) regarding
ISPO System Institutional Governance.
The Regulation of the Minister of Agriculture
(Nr.38//2020) regarding the implementation of
the ISPO Certification (from the upstream
supply chain side).
The Regulation of the Minister of Industry
(from the downstream supply chain side) –
(on progress).

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 Improvement of the New ISPO
KEMENTERIAN
KOORDINATOR BIDANG
PEREKONOMIAN
Certification is given by a certification body REPUBLIK INDONESIA

1 The Principles of New ISPO 2 (Independence and transparency).

Certification is mandatory to all types of

Continuous Business 3
plantation.
Improvement
Compliance with Laws
2 Criteria, 4
Indiicators 7 and Regulations
1
10 Criteria, 21
Implementing Indicators
Transparency
state owned private
5 Criteria, 18 6 Application of smallholders
Indicators Good Agricultural company company
Practices (GAPs)
7
Principles Smallholders will be given a transition
of ISPO 2
2 Criteria, 36 period for 5 years ahead.
Indicators
Social Responsibility and
Community Economic
Government guidance and supervision
Empowerment 5
3 Criteria, 9 Management of the for Smallholders.
Indicators Environment, Natural
3 Resources, and
Biodiversity Strenghtening the role of Smallholders’
Labor Responsibilities 4 group or Cooperatives.
9 Criteria, 49
6 Criteria, 36
Indicators
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 The Institutionalization of the New ISPO
KEMENTERIAN
KOORDINATOR BIDANG
PEREKONOMIAN
REPUBLIK INDONESIA

Steering Committee on ISPO Committee Secretariat on ISPO

The Regulation of the Coordinating Minister for The Regulation of the Directorate General of
Economic Affairs (Nr.10/2020) Estate Crops (Nr.256/2021)

• Chair : Coordinating Minister of Economic Affairs 1. Head of Secretariat: Director General of Estate
• Chair (Daily Basis) : Minister of Agriculture Crops, Ministry of Agriculture
• Secretary: Deputy Minister for Food and Agribusiness 2. Deputy Head of the Secretariat:
Coordinating Ministry for Economic Affairs 1. Director of Processing and Marketing of
• Members : Plantation Products, Ministry of Agriculture
1. Minister of Environment and Forestry 2. Assistant Deputy of Plantation
2. Minister of Agrarian Affairs and Spatial Planning Agribusiness Development, Ministry
3. Minister of Trade Coordinating of Economic Affair
4. Minister of Industry 3. Director of Forest and Plantation Products
5. Minister of Home Affairs Industry, Ministry of Industry
6. Chair of National Standardization Agency 3. Secretariat Team Coordinator
4. Operational Policies, Programs, Coordination
Objectives and Market Acceptance of ISPO Certification
5. Sector of Data, Information Systems, and ISPO
Provide policy direction for the implementation of
Certification System Development
the tasks of the Indonesian Sustainable Oil Palm
6. Monitoring and Evaluation
Plantation Committee.
7. Administration and General Affairs

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 ISPO Certification Performance
KEMENTERIAN
KOORDINATOR BIDANG
PEREKONOMIAN
REPUBLIK INDONESIA

Percentage ISPO Performance Smallholders Million tons

3% CPO certified
9%

State Own Company

Million hectares
State-owned Company Land certified
Private Company

Smallholders
Private Company
88%
Source: Kementan 2021

Palm Oil Area • Compared to other plantations, the 23 ISPO certificates for smallholders are
still not significant, and need to be accelerated considering the oil palm area
27% covered for smallholders reaches 6.72 million hectares.
ISPO • Of the total area of oil palm (16.83 million ha), ISPO certified 4.53 million ha
73%
(27%), while Non-ISPO around 12.30 million ha (73%).
Non-ISPO

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 Way Forward in Increasing International Recognition
KEMENTERIAN KOORDINATOR
BIDANG PEREKONOMIAN
REPUBLIK INDONESIA

Constructive dialogue with buyers through diplomacy forum:

• Indonesia and Malaysia (as member countries of CPOPC) in collaboration
with GAPKI through Positive Campaign called “Countering Against Palm Oil
Campaign” (CAPOC)
• Indonesia – Benelux (Belgium, Netherland and Luxemburg) Communication
and Action Platform (IBCAP)
• Indonesia – Japan (ISPO have recognized by Olympic Comittee)
• Amsterdam
Expand Declaration
recognition Partnership
to main consumers
• China, India, Pakistan are on the list
Better and more coordinate palm oil governance
• Presidential Instruction No. 6/2019 on National Action Plan on Sustainable
Palm Oil
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 ISPO Contribution of The Sustainable Development Goals (SDGs)
KEMENTERIAN KOORDINATOR
BIDANG PEREKONOMIAN
REPUBLIK INDONESIA

No Principles SDG’s
1 Compliance with laws and regulations

2 Implementation of good agricultural

practices
3 Management of the environment, natural
resources, and biodiversity
4 Labor responsibilities

5 Social responsibility and community

economic empowerment
6 Implementation of transparency

7 Sustainability of business improvement

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 COORDINATING MINISTRY FOR ECONOMIC AFFAIRS
REPUBLIC OF INDONESIA

THANK YOU

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 ISPO Certification Institution (Presidential decree 44/2020)
KEMENTERIAN KOORDINATOR
BIDANG PEREKONOMIAN
REPUBLIK INDONESIA

Steering Committee
ISPO

NATIONAL ACCREDITATION
COORDINATION Committee Secretariat
COMMITTEE (KAN) ISPO

COMPLAINT/APPEAL

CERTIFICATION
INSTITUTION ON
ACCREDITATION ISPO EVALUATION
PEMBINAAN
certification COMPLAINT/APPEAL

BUSINESS ACTORS
(COMPANY OR GROWER)

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