17/11/2008 (Berita Sore), Padang - The West Sumatra provincial administration hoped the central government would intensify the implementation of the palmoil-based biodiesel oil production as a medium-solution to the current economic crisis regarding the national CPO commodity.

West Sumatra Governor Gamawan Fauzi said here on Sunday that if the  biodiesel program could be realized, CPO production could be accommodated in the country, and there is no longer any need to export the commodity because the risks of the current global economic crisis.

The impact of the global economic crisis would also be overcome by building downstream CPO industries with a budget well-adjusted to the financial capacity of the central government and the regional administrations, he added.

The building of the industries may also involve investors in the construction of frying oil factories in the regions, he added.

Response to the global economic crisis in the palm oil sector in the short-run, he said, can also be done by facilitating the farmers in teaming up with big plantations and those run by national private companies.

By facilitating, it is expected that the price of fresh oil palm fruit bunches of the self-relying growers will be in a good balance with those of the plasm growers.

Another way, he added, would be the institutional revitalization of oil palm growers to make them strong and self-reliant.

This revitalization program will be carried out by the West Sumatra provincial administration in 2009, with the already allocated Rp140 million in the West Sumatra regional state budget, the governor said.

West Sumatra Governor Gamawan Fauzi said here on Sunday that if the  biodiesel program could be realized, CPO production could be accommodated in the country, and there is no longer any need to export the commodity because the risks of the current global economic crisis.

The impact of the global economic crisis would also be overcome by building downstream CPO industries with a budget well-adjusted to the financial capacity of the central government and the regional administrations, he added.

The building of the industries may also involve investors in the construction of frying oil factories in the regions, he added.

Response to the global economic crisis in the palm oil sector in the short-run, he said, can also be done by facilitating the farmers in teaming up with big plantations and those run by national private companies.

By facilitating, it is expected that the price of fresh oil palm fruit bunches of the self-relying growers will be in a good balance with those of the plasm growers.

Another way, he added, would be the institutional revitalization of oil palm growers to make them strong and self-reliant.

This revitalization program will be carried out by the West Sumatra provincial administration in 2009, with the already allocated Rp140 million in the West Sumatra regional state budget, the governor said.