Preventing Food Crisis, United Tractors Supports Local Farmers to Develop Organic Farming Pilot Land in Halmahera

Halmahera, December 14^th,2022 – PT United Tractors Tbk (UT) through its representative office in Manado, North Sulawesi is collaborating with Bank Indonesia (BI) to increase efforts to prevent food crises in Eastern Indonesia. The joint commitment formed was the provision of support in the form of a demonstration plot (demplot) or agricultural counseling in East Halmahera, North Maluku, Wednesday (14/22).

Representative of UT Manado Branch, Muhammad Taufik Irmansyah, said that the counseling in developing this organic farming demonstration plot was given to the Subur Jaya Farmers Group located in Tuguling Jaya Village, East Wasile District, East Halmahera, North Maluku. The purpose of this joint commitment is to encourage the production of local farmer groups so that they can support food security in an integrated, massive, and nationally impactful, and be able to contribute to controlling Indonesia’s food inflation and improving the economy of the surrounding community including farmers.

“As one of the strategic steps to strengthen food security in Indonesia, UT is collaborating with BI to be able to control food inflation. This is because food inflation has a considerable impact on people’s survival. By making efforts to control food inflation, it will have a large social impact on people’s welfare,” said a Representative of UT Manado Branch, Muhammad Taufik Irmansyah.

The collaboration between UT as a company that has worked for more than 50 years in Indonesia and BI is an implementation of a sustainable business and the company’s environmental, social, and governance, (ESG) principles. Therefore, long-term support and guidance to farmer groups is a form of UT’s actual contribution to Indonesia’s economic growth through the creation of sustainable added value. On the other hand, UT is also committed to contributing to the welfare and sustainability of the Indonesian people in all of its operational areas.

This organic farming demonstration plot in East Halmahera has 1-hectare area that is divided into 4 areas which will later be planted with 4 popular agricultural commodities such as shallots, red chilies, bird’s eye chilies, and tomatoes. In practice, the planting of these commodities is located in Sumberagung, Kab. East Halmahera.

Through organic farming demonstration plot, local agricultural business players can learn directly about organic farming methods to be implemented independently. In addition, this activity also aims to create the ability of farmers to be self-sufficient in fertilizer. It is hoped that the number of farmers who apply organic and sustainable farming methods can increase along with local agricultural production of local commodities.

The creation of organic farming and demonstration plots is also supported by two of UT’s CSR pillars, namely UTREES (United Tractors for Nature and Environment Sustainability) and UTACTION (United Tractors for Emergency Response and Action). Both of them provided support through the installation of bamboo stakes (ajir) and mulch rolls in the demonstration plot land to encourage sustainable organic farming models to promote healthy food.

United Tractors’ Overview

PT United Tractors Tbk (UT) which is known as the largest heavy equipment distributor in Indonesia has been established since 1972. Currently, UT has grown and has six business pillars, namely Construction Machinery, Mining Contracting, Coal Mining, Gold Mining, Construction Industry, and Energy. As its contributions to the achievement of Sustainable Development targets (SDGs). UT consistently carries out activities to uphold sustainability.

ESG United Tractors

As a world-class heavy equipment, mining, and energy company with more than 50 years of experience in Indonesia, UT is committed to presenting a sustainable future for Indonesia through the effective application of ESG principles by paying attention to the environment, having a good impact on society, and upholding good corporate governance. good corporate governance at all levels of its business operations, as well as optimizing its competencies, expertise, and strategic assets to bring added value to all stakeholders and the Indonesian people.