26-9-2023 (JAKARTA) The Indonesian government has issued a warning to palm oil companies that fail to submit the necessary paperwork related to land use. Senior minister Mahfud MD announced on Tuesday that if these companies do not comply by November, legal action will be taken against them.
Earlier this year, Indonesia identified approximately 3.3 million hectares (8.1 million acres) of palm oil plantations located in areas designated as forests. This illegal use of land has resulted in significant losses amounting to 42 trillion rupiah for the Indonesian economy, according to Mahfud.
“If they violate the rules and refuse to cooperate within the given timeframe, legal action will be taken in November,” stated Mahfud.
In accordance with a 2020 law, plantations situated within Indonesia’s forest areas can be deemed legal if they meet certain requirements and pay fines.