Jakarta — Indonesia’s state-owned palm oil company PT Agrinas Palma Nusantara has posted a significant shortfall in its financial and operational performance, with revenue reaching only 1.83 trillion rupiah ($112 million) against a target of 5.48 trillion rupiah in the first half of 2026 — a gap of roughly 57percent, appear in a hearing session with the members of the House of Representatives from Commission VI on Monday, 6 July 2026.
Commission VI of the House overseas trade, industry, investments, and state-owned enterprises business competition in the hearing at the Parliament Building in Jakarta clarified several issues to Agrinas Palma Nusantara, including issue about massive layoffs which was denied.
Moreover, the underperformance extends beyond revenue for the palm plantation firm. Fresh fruit bunch (FFB) production fell short by around 40 percent, while mill utilization dropped by as much as 80 percent compared to the same period last year, underscoring deeper operational inefficiencies.
The figures have drawn sharp criticism from parliament, with Lawmaker Rahmat Saleh warning that the gaps point to structural problems in both planning and execution.
Speaking during the hearing session with Agrinas's Director Mohammad Abdul Ghani, Lawmaker Rahmat said the scale of the discrepancy could damage the firm’s credibility if left unaddressed.
The politician from the Prosperous Justice Party (PKS) identified two core issues — operational and financial gaps — as key indicators of weak governance of Agrinas.
“There are two gaps here: operational and financial. If these are not addressed, they risk undermining the company’s reputation under current leadership,” he said.
Rahmat framed the issue within broader public expectations of state-owned enterprises, noting growing scrutiny over performance transparency.
“People are tired of being misled by numbers. Under President Prabowo Subianto’s leadership, we expect state firms to deliver real results, not empty projections,” he added.
