4 September 2024, East Kutai, Indonesia – The Sustainable Living Village (SLV) programme was officially launched today in East Kutai, East Kalimantan, marking a significant milestone in the collaborative efforts between Apical, a leading vegetable oil processor and Indonesia’s largest exporter of palm oil; Earthworm Foundation, an impact-driven non-profit organisation; and the East Kutai District Government. This partnership is set to drive positive environmental and social change in the East Kutai region.  

The SLV programme is a stakeholder-inclusive initiative designed to foster sustainable livelihoods through collaboration with partners, communities and villagers. It focuses on creating positive environmental impacts, bridging critical knowledge gaps and reducing inequality through four key initiatives: improving livelihoods, protecting forests, transforming supply chains and fostering stakeholder collaborations. 

Apical is committed to leveraging its expertise and strengthening collaboration with Earthworm and other stakeholders through this five-year initiative. The programme will be rolled out across three villages in East Kutai; Tepian Indah, Tepian Langsat, and Tepian Makmur - home to over 16,200 community members. This region, known for its rich biodiversity and historical significance in palm oil production, is heavily dependent on oil palm cultivation for its socio-economic well-being.

The SLV programme aims to equip smallholders with the knowledge and skills necessary for sustainable agricultural practices, develop sustainable alternative livelihoods through cacao cultivation and protect natural landscapes by fostering stakeholder commitment to the conservation and restoration of designated forest areas.

A key component of the programme is empowering smallholders to adopt Good Agricultural Practices (GAP) and Best Management Practices (BMP) for sustainable oil palm cultivation. It will support smallholders in obtaining the Cultivation Registration Certificate (STDB), which is essential for legal compliance, securing government funding and achieving the Indonesian Sustainable Palm Oil (ISPO) and Roundtable on Sustainable Palm Oil (RSPO) certifications. In particular, smallholders are expected to improve their farming techniques by transitioning to alternative non-chemical-based fertilisers.

Furthermore, the SLV programme will establish a demonstration plot for cacao farming to help diversify smallholders’ income streams. Cacao, a priority commodity in East Kutai, is  renowned for its high quality. In addition to providing GAP training for cacao farming, the SLV programme will facilitate market access for smallholders.

"We are thrilled to embark on this journey with our partners to bring about transformative and sustainable change to the people of East Kutai,”said Agus Wiastono, CSR Manager of Apical. “By equipping local farmers with the skills and knowledge necessary to achieve STDB certification, we are laying the groundwork for sustainable agricultural practices that will benefit both the environment and the economic well-being of these communities. Over the next five years, our goal is to train 500 farmers, providing them with the tools and support they need to thrive in a sustainable and environmentally-conscious manner. We believe these initiatives will not only strengthen the local economy but also embed the principles of sustainability into the daily lives of the villagers.”  

Dean Affandi, Field Programme Lead of the Earthworm Foundation in Indonesia, highlighted the organisation's commitment to safeguarding nature and supporting communities through sustainable supply chain practices. "Our collaboration with Apical under the SLV programme is a key step towards enhancing our efforts with the government and local communities in the East Kutai District," Affandi stated. “With Apical's support, Earthworm Foundation will drive participatory land use planning (PLUP), a collaborative process involving all stakeholders to create land use plans that are socially equitable, economically viable, and environmentally sustainable. This process will pave the way for additional initiatives aimed at protecting 10,000 hectares of land and planting 90,000 trees for forest conservation and restoration, while also delivering significant benefits to local smallholders by the end of the SLV programme.”

In his speech at the launch event, the Head of the Economy and Natural Resources Division, Ripto Widargo S.TP., MT, representing the Regional Development Planning Agency (Bapedda) expressed the government’s alignment with the SLV programme. “The SLV programme by Apical and Earthworm Foundation aligns with our efforts to enhance economic competitiveness through the agricultural sector while championing sustainable practices. As we prepare for economic diversification, the SLV programme represents a significant step forward in strengthening our community’s economy. We believe that this initiative will serve as a valuable model for other regions to emulate.”

First launched in February 2023 in Aceh Singkil District, Sumatra, Indonesia, the SLV programme is a key initiative of Apical’s 2030 sustainability agenda, which aligns with the United Nations Sustainable Development Goals (UN SDGs). Apical is committed to supporting 30 villages through the SLV programme by 2030.  

Together with its stakeholders, Apical, Earthworm and the East Kutai District Government are steadfast in driving significant positive change in the region, fostering a sustainable and thriving future for the smallholder communities.

Media Contact:

Corporate Communications, Apical Group Email: corpcomms@apicalgroup.com

Sheila Kartika, Regional Communication Manager for Indonesia and Malaysia, Earthworm Foundation
Email: s.putri@earthworm.org

About Apical

Apical is a leading vegetable oil processor with an expanding global footprint. Our vertically integrated mid-stream refining and value-added downstream processing make us an integral supplier that supports the needs of various industries, namely food, feed, oleochemicals, and renewable fuel, including sustainable aviation fuel (SAF), which enables a great reduction of CO2 emissions. 

With integrated assets in strategic locations spanning Indonesia, China and Spain, Apical operates numerous refineries, oleochemical plants, renewable fuel plants and kernel crushing plants. Through joint ventures and strategic partnerships, Apical also has processing and distribution operations in Brazil, India, Pakistan, Philippines, Middle East, Africa, USA and Vietnam.

Apical’s growth is built on the foundations of sustainability and transparency. We are motivated by our strong belief that we can contribute to a circular economy for a more meaningful impact as we continue to grow our business and deliver innovative solutions to our customers.

For more information, please visit www.apicalgroup.com.

About Earthworm Foundation

Earthworm Foundation is an impact-driven non-profit that works with businesses, civil society, communities, governments and others to tackle environmental and social issues in sourcing landscapes and supply chains.

Our team of supply chain, social, and environmental experts operates across five

continents, striving to enhance conditions for individuals, forests, and soils affected by the production of cocoa, packaging, palm oil, rubber, and other commodities. With a network of over 100 members and partners, our foundation is dedicated to implementing responsible sourcing commitments in supply chains and innovating practical solutions to address social and environmental challenges across diverse sourcing landscapes. Find out more at www.earthworm.org.