Inclusive Business Model Analysis: PT PAS, Indonesia

Palm oil is both a major contributor to Indonesia’s economy and driver of deforestation and biodiversity loss. Investment in sustainable smallholder production and conservation is critical.

PT PAS produces, processes, and sells palm oil and derivative products to regional, national and global markets. They control palm oil production from a network of concessions that it owns and operates across Indonesia.

PT PAS aims to sustainably source certified palm oil from smallholders, support nearby villages diversifying into non-timber forest products, and protect, restore and rehabilitate the HCV areas on its concessions.

This SDM Analysis assessed the business case for smallholder-grown palm oil; community driven non-timber forest products (NTFPs); and the conservation efforts by PT PAS.