Case Study of Cross Sector Alliance in Percut, Sei Tuan, Deli Serdang, North Sumatera Province
Indonesia is the world largest palm oil producer with 7 million hectares of land in major islands is allocated for the plantation. Every year around 315000 hectaresof land is converted into palm oil plantation. In total, around 18 million hectares of forest have been converted for the expansion of oil palm plantations. The industry is considered as a major contributor to the economic growth as it also absorbs 10 million workers, mostly casual workers. NorthSumatraProvinceis a center of palm oil plantation in Indonesia. It produces 1.7 million tons of Crude Palm Oil (CPO) per year. This constitutes 8.23% of total national production of CPO per year.
Since 2010, SBPI has played a prominent role in sustaining the cross sector alliance. The establishment of the cross sectoral alliance in Deli Serdang district takes place at Sei Tuan Percut sub district. Percut Sei Tuan sub district has 4,600 hectaresof productive ricefield.It is one of the rice suppliers for Deli Serdang regency, North Sumatra. Similar with other sub districts in NorthSumatraProvince, there is a prolonged land dispute between between farmers and state-owned plantation (PTPN). In this region, discussions with the plantation workers, manufacturing workers, food peasant, landless peasants and traditional fishermen has been developed.