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    Nine Regencies in West Java are Elected For Development of Agricultural Business & Digitalization Program


    INDRAMAYU REGENCY-West Java Governor Ahmad Heryawan (Aher) accompanied President Joko Widodo (Jokowi) inaugurated the Agricultural Entrepreneurship and Digitalization of Agricultural System at the location of Integrated Rice Processing Center (SPBT) of Indramayu Regency.

    Farmer Entrepreneurship and Digitalization of Agricultural System was developed in the form of a company, namely PT Mitra Bumdes Bersama (MBB). PT MBB is under the guidance of SOE companies. Nine districts in West Java were selected for the development of this program as a pioneer of agricultural entrepreneurship.

    In his speech at the inauguration ceremony, President Jokowi revealed that to improve and improve the welfare of farmer's life can not be done alone by farmers. There needs to be a group or corporation that handles it.

    "Farmers can not organize themselves, and farmers must be organized, to be able to compete, farmers must be large groups," Jokowi said in his speech.

    "I have confidence that corporate can do big jobs, farmers can also do great work," he continued.

    PT MBB stands for farmers not only to sell rice in the form of grain only. However, through this company farmers can sell it until it has become rice in a good packaging.

    "This is what should be changed, the grain will later be sold to MBB and later in the form of rice can be directly sold, the profit will be greater," said Jokowi.

    "If farmers can sell rice, then that's where farmers can have good welfare," he added.

    Jokowi will also monitor the development of PT MBB Sliyeg for six months ahead. If the company succeeds, it will be an example of agricultural development and agricultural digitization system in Indonesia.

    "This (PT MBB Sliyeg) is a joint example that I will look at for the next six months, and if this goes well we will do all the agriculture in Indonesia," he said.

    Shares of PT MBB Sliyeg 51% will be controlled by Mitra Bumdes Nusantara (MBN) which is a subsidiary of seven SOEs, namely Perum Bulog, Danareksa, PPI, PIHC, RNI, PTPN III, and Pertamina Retail. The remaining 49% is owned by Perkumpulan Gapoktan Bersama, consisting of 14 Gapoktan and Perkum Bumdes Bersama consisting of Bumdes from 14 Villages.

    While the distribution of business results does not reflect the share of these shares. But 80% for Gapoktan and Bumdes associations and 20% for PT MBN.

    SOE involvement in MBB is to support professional management and digital information technology. It is hoped that the management of MBB will be more professional and well managed.

    The agricultural entrepreneurship ecosystem formed with the synergy of SOEs is based on the digitization of agricultural systems developed by PT Telkom through the Logistics of Farmers application (Logtan). This application integrates all agricultural business processes from pre-planting - cropping - to post-harvest.

    Meanwhile, SOE Minister Rini Soemarno hopes that PT MBB will help farmers to be more independent and competitive, and improve the welfare of farmers.

    There are nine districts in West Java which become the location of agricultural entrepreneurship program development and digitization of this agricultural system, among others, Indramayu District, Karawang, Purwakarta, Cianjur, Garut, Ciamis, Sumedang, Majalengka, and Tasikmalaya Regency.

    PT MBB itself has facilities such as a rice drying machine that can dry dry harvest, as much as 30 tons in one drying cycle for 16-18 hours. In addition, there is also a rice warehouse with a capacity of up to 500 tons, as well as office building facilities and other supporting facilities.

    Potential data of farmers in Sliyeg subdistrict itself there are 7.009 people. Of this number has been handed the farmer cards to 2,993 farmers and 1,958 farmers of whom have received the People's Business Credit.

    "It is expected that all farmers' planting needs can be fulfilled properly, along with the cost of living up to the harvest season," Rini said in his speech.

    Rini added that the realization of agricultural entrepreneurship in Sliyeg Subdistrict, Indramayu Regency is the result of collaboration between SOE with Local Government, and related Ministry, that is with Governor of West Java, Bupati of Indramayu, Minister of Agriculture, and Minister of Village, Development and Disadvantaged Area and Transmigration.

    "Our hope this agriculture entrepreneurship program can be realized as a program that can help advance and prosper the farmers," said Rini.

    "We also believe this program can be suistainable, because one of the manifestations of the role of SOEs as a development agent," he concluded.

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