Sustainable Intensification With Best Management Practices (BMP) Oil Palm in Southeast Asia, Marginal Environments

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1 Sustainable Intensification With Best Management Practices (BMP) Oil Palm in Southeast Asia, Marginal Environments Thomas Oberthür - Director, IPNI Southeast Asia Program Christopher R. Donough - Consultant, IPNI Southeast Asia Program TROPENTAG 2011 University of Bonn August 2011 Bonn, Germany

2 Sustainable Intensification with BMP in Oil Palm Background Concepts Results Implications Sahara Estate, Sampoerna Sungai Rangit Plantation Kalimantan, Indonesia Photo: T. Oberthür

3 Background: Global Vegetable Oil, Mill tons Production 2011 Demand 2050

4 Background: Oil Palm Area and Yield Evolution Harvested area in million ha CPO yield t per ha Data for Indonesia Source: FAO STAT, 2011

5 Background: IPNI Southeast Asia Strategies Sustainable intensification of existing production systems Develop intensive and sustainable systems in marginal lands

6 Background: Oil Palm CPO Yields (t ha -1 y -1 ) >18 Potential yield >12.2 Selected progeny Attainable commercially >8 Malaysian plantation group >6 Best Indonesian plantations 3.6 Last 5 year national average Indonesia Source: Donough et al., 2010

7 Sustainable Intensification with BMP in Oil Palm Background Concepts Results Implications Photo: T. Oberthür

8 Concepts: Yield Gap 100% 90% 80% 70% Yield gap 3 Yield gap 2 Yield gap 1 Presented Project 60% 50% 40% 30% 20% 10% Poor management Nutrient deficiencies Maximum economic yield Yield potential of progeny for a given soil and climate 0% Source: Fairhurst et al., 2006

9 Concepts: Best Management Practices (BMP) Reference Block BMP Block

10 Concepts: BMP Implementation BMP 1 REF 2 BMP 2 REF 1 1 Implement BMP REF 3 BMP 3 BMP 4 BMP 5 REF 5 4 Upscale 2 Compare REF 4 Plantation REF 3 Analyse Relevance

11 Yield making Yield taking Concepts: BMP Examples Crop recovery Canopy management Nutrient management

12 Sustainable Intensification with BMP in Oil Palm Background Concepts Results Implications Photo: T. Oberthür

13 Results: BMP Sites

14 Results: BMP Sites Location Area Age Prior Y Conditions Site factors 1 North Sumatra 266 ha Good Level terrain, low rainfall 2 North Sumatra 156 ha Good 3 South Sumatra 256 ha Moderate 4 West Kalimantan 143 ha Poor Rolling terrain, variable stand Undulating terrain, water deficit Undulating terrain, spodosols 5 Central Kalimantan 124 ha Very Poor Water deficit, very sandy soil 6 East Kalimantan 135 ha Good Rolling terrain, high rainfall

15 Results: Fresh Fruit Bunch Yield t ha Pre Project Year 1 Year 2 Year 3 Year % % % % % % BMP REF BMP REF BMP REF BMP REF BMP REF BMP REF Site 1 Site 2 Site 3 Site 4 Site 5 Site 6

16 Results: Fresh Fruit Bunch Yield t ha Year 1 Year 2 Year 3 Year 4 Optimal conditions Average increase over 4 years: +12% Suboptimal conditions Average increase over 4 years: + 18% Opt Cond BMP Opt Cond REF Subopt Cond BMP Subopt Cond REF Sites 1, 2, 6 Sites 3, 4, 5

17 Results: Summary Commercially significant yield increases across main growing areas in Indonesia Increases in well managed plantations under optimal growing conditions Increases under suboptimal conditions in marginal lands when managed well

18 Sustainable Intensification with BMP in Oil Palm Background Concepts Results Implications Photo: T. Oberthür

19 Implications: Sustainable CPO in t ha -1 y -1 Attainable commercially 6.1 t ha -1 y t ha -1 y -1 Site 1 Site t ha -1 y -1 Supply demand with sustainable oil in 2020 * 5.7 t ha -1 y t ha -1 y t ha -1 y t ha -1 y -1 Site 2 Sites 3, 4 Site 5 5 year national average Indonesia * Source: Expansion scenarios as developed in Dros (2003)

20 Implications: Sustainable CPO in t ha -1 y -1 Attainable commercially 6.1 t ha -1 y t ha -1 y -1 Site 1 Site t ha -1 y -1 Supply demand with sustainable oil in 2020 * 5.7 t ha -1 y t ha -1 y t ha -1 y t ha -1 y -1 Site 2 Sites 3, 4 Site 5 5 year national average Indonesia * Source: Expansion scenarios as developed in Dros (2003)

21 Implications: Sustainable CPO in 2020!NEW! BMP All Growth Stages, !NEW! BMP Nutrition, !NEW! BMP Plantation Intelligence, IPNI s Southeast Asia Program supports students to undertake thesis work, or to conduct internships PLEASE CONTACT US toberthur@ipni.net

22 We are grateful to the Tropentag 2011 Organizers Data generated by IPNI and Indonesian plantation partners with support by IPNI member companies: Permata Hijau Group, PT Bakrie Sumatera Plantations Tbk, PT REA Kaltim Plantations, PT Sampoerna Agro Tbk, and Wilmar International Ltd. Canpotex International Pte Ltd and K+S Kali GmbH PLEASE CONTACT US

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