TOTAL FUNDS AUGUST 2023 - JULY 2024

$250,000

Institutional Support

TOTAL FUNDS OCTOBER 2024 - SEPTEMBER 2029

$5,000,000

General Support

TOTAL FUNDING SUPPORT $800,000

August 2023 - September 2024 ($300,000)
February 2025 - July 2026 ( $500,000 )

Direct Funding ( Re-Granting )

TOTAL FUNDING SUPPORT 2023 - 2025

$550,000

Re-Granting - General Support

TOTAL FUNDS 2024 - 2026

$2,500,000

Re-Granting - Core Support - Endowment
BUMMA White Frankincense

BUMMA White Frankincense

Programme

Palm Sugar Production to Improve Community Economy

Supporting Organizations
AMAN
Venues
Jambi
Direct Funding
IDR 53.500.000,-
Period
Start
01/02/2024
End
30/06/2024
Target
A just and sustainable economy, in line with the principles of Indigenous Peoples and Local Communities
Status
Done

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Increasing the Capacity and Economy of Indigenous Communities through Palm Sugar Production

The Depati Puncak Negri Indigenous Community in Air Bersih Village, Air Hangat Barat District, Kerinci Regency, Jambi, is blessed with fertile soil and a climate that supports agriculture. This Indigenous Community relies on plantation products and local commodities as their main source of livelihood. One of the mainstay products that continues to be maintained and developed is palm sugar, produced from palm trees that grow around their village. Therefore, the Depati Puncak Negeri Indigenous Community has formed the Kemenyan Putih Indigenous Community-Owned Enterprise (BUMMA) as a collective business management vehicle to regulate the production, distribution, and marketing of village palm sugar products.

With the support of Direct Funding from Nusantara Fund, the BUMMA Kemenyan Putih development program focuses on strengthening the managerial capacity and management of palm sugar businesses in order to expand the market and support the economic independence of the community in a sustainable manner. Strengthening the capacity of BUMMA in various aspects is targeted, starting from organizational management, production, to marketing strategies.

The program began with managerial training preparation to strengthen the business foundation. A total of 20 BUMMA members, divided into three main roles; core management, production team, and distribution marketing team, gathered to train together. The training covered various aspects of business management, from the introduction of basic management concepts to targeted marketing techniques.

Participants begin by learning about an effective organizational structure and the role of each member in supporting the smooth operation of BUMMA Kemenyan Putih. To build a strong understanding of collective management, they are taught how to create a business plan, monitor the budget, and ensure transparency in every decision-making. The training is conducted interactively using case studies taken from the community's direct experience. So participants have the opportunity to apply management theory in real scenarios according to their situations. They learn the importance of maintaining good relationships between members and sharing responsibilities so that BUMMA's operations can run efficiently.

In addition to managerial training, BUMMA also focuses on developing marketing and distribution teams responsible for expanding the reach of the palm sugar market. Participants are trained in marketing strategies, including: market research to understand consumer preferences, competitive pricing, and effective promotional techniques to attract more customers. They learn to use social media to introduce palm sugar products to potential buyers. In addition, the marketing team is taught basic graphic design skills, how to create engaging social media content, create promotional materials such as brochures and pamphlets, and maximize local networks for distribution.

In the production sector, team members receive training to improve the quality and quantity of palm sugar production. The training also introduces new production tools, production time can be faster but product quality is not compromised. Participants learn how to select the best raw materials and maintain cleanliness standards during the production process so that palm sugar is produced to meet quality standards. The use of proper heating and drying techniques also ensures that palm sugar products have consistent texture, color, and taste.

BUMMA also studies waste management and minimizes negative impacts on the environment. In addition, they use production techniques without using any additional chemicals, making their palm sugar products natural and more health-friendly.

Palm sugar production from previously only 50 kilograms increased to 250 kilograms per month after the training was conducted. The increase was not only driven by increased skills in the production process, but also through the implementation of higher quality standards to ensure that BUMMA Kemenyan Putih palm sugar can compete in a wider market.

In addition, capacity building also emphasizes improving the management of raw materials and the wise use of natural resources. The sugar palm trees that are the basic ingredients of production are harvested with attention to the sustainability of the ecosystem, by rotating crops and planting new sugar palm trees. In this way, they ensure that raw materials remain available in the long term without damaging the environmental balance around their village forest.

In terms of marketing, there is an expansion of the market share of palm sugar produced by the community. Previously, palm sugar products were only marketed on a small scale from one person to another. Now it has reached neighboring communities and even to Kerinci Regency. Market expansion can be achieved thanks to direct promotion to local markets, distribution of brochures, and active social media promotion carried out by the BUMMA Kemenyan Putih marketing and distribution team.

Every detail from production to distribution of palm sugar is attempted to encourage the improvement of the community's economic welfare without neglecting the sustainability of natural resources. The Depati Puncak Negri Indigenous Community maximizes the potential value of the palm tree by improving the quality of palm sugar products. Quality palm sugar can be sold at a higher price, this will prevent excessive exploitation of palm trees because increasing profits does not solely depend on increasing the quantity of production. Palm trees are also only harvested in certain quantities, replanting is carried out regularly so that palm trees remain available for the next generation. 

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