Addressing deforestation through collaborative landscape approaches in Indonesia

Deforestation continues to be a key issue in global agri-commodity supply chains. Over the past 25 years, we have seen deforestation in Indonesia grow to a peak in 2016 when, according to Global Forest Watch, over 2.4 million hectares of tree cover was lost. While this figure had significantly fallen to 841,000 hectares in 2021, the recent rise in deforestation rate is concerning for all those involved in agri-commodity markets.

Based on reports by Global Forest Watch and Mongabay, deforestation in Indonesia is predominantly driven by expansion of agricultural commodities – palm oil, pulpwood plantations, food and energy crops – as well as some impacts from mining and urbanisation.

We know there is a link between demand for agricultural commodities and deforestation. The question is how to engage market power to align economic goals (prosperity, income, economic growth) with nature goals (preserving and conserving biodiversity, maintaining forest cover for wildlife habitat), as well as social goals (building resilient communities and providing rural livelihoods).

At Proforest, we work with companies, as well as government and partners, at all stages of the supply chain, hence we are frequently engaged with discussions throughout the supply chain about commodity production.

Our approach is to foster collaborative approaches and engage the private sector across the supply chain to work together to have positive outcomes for people, nature and climate. These collaborative approaches include both sectoral initiatives, like the Palm Oil Collaboration Group (POCG), and place-based landscape initiatives. Through these collaborative approaches we develop tools and processes to enable companies to work together, not only to reduce deforestation in their supply sheds, but also to address human rights, smallholder inclusion in markets and traceability of supply.

Collaboration at a landscape level can play a crucial role in addressing deforestation, while driving positive impacts for people, nature and climate. Our partnerships in three Indonesian landscapes have shown us the impact we can have working collaboratively across the public, private and social sectors. These three landscape initiatives – Sungai Linau Landscape Programme (SLP), Siak and Pelalawan Landscape Programme (SPLP), and the Sustainable Landscape Initiative in Kutai Timur (Sustain Kutim) – have taught us a lot about the processes of establishing and growing a collaborative landscape approach.

The Sungai Linau Landscape Programme (SLP) was developed by a collective of palm oil companies, facilitated by Proforest. Working closely with local government, villages, technical partners and non-governmental (NGOs), SLP focuses on community-based land use planning and nature protection, establishment of a landscape monitoring and response protocol, and promoting alternative livelihoods for local communities.

The Siak Pelalawan Landscape Programme (SPLP) similarly integrates interventions to balance outcomes for people, nature and climate through activities like high conservation value / high carbon stock assessment, integrated management plans, support to oil palm smallholders on certification and legality, alternative livelihood activities such as composting and nurseries, and protection of forests and peatlands. Together with our implementation partners of SPLP, the Programme has mapped a total area of approximately 1,100 ha of mangrove, including 170 ha of potential rehabilitation areas in four villages (Penyengat, Mengkapan, Bunsur, and Kayu Ara Permai).

Ongoing community engagement has led to 13 villages across Siak and Pelalawan to commit to and participate in conservation activities and a natural ecosystem management plan in 2024. These achievements were made possible by the Siak and Pelalawan District Government's commitment to no deforestation and the natural ecosystem management plan via the District Action Plan for Sustainable Palm Oil and District Regulation on Siak Hijau and Pelalawan Sejuk.

Similarly, in East Kutai, Sustain Kutim aims to strengthen the capacity of the East Kutai District Government, local communities, smallholders, workers, and plantation companies to cooperate in transforming East Kutai to be a sustainable region in agricultural production with a focus on palm oil and rubber production.

Guided by the commitments of the district government, the initiative helps strengthen private and public engagements to ensure alignment and connectivity between high conservation value (HCV) areas and village land use plans.

To date, a total area of approximately 203,300 ha of potential HCV area was identified in five priority villages, with the relevant data submitted to the Agriculture Department (Disbun). This will lead to the development of village conservation regulations and management plans via the engagement of local companies. Landscape approaches offer a collaborative framework for companies, government and civil society to implement their commitments on nature, people and climate, with impact at scale. In all three landscapes, we see the importance of engagement, support and commitment from local and District government to embed company action in wider plans.

Even in a world where immediate pressures and incentives drive higher levels of deforestation though agricultural commodity production, we believe there is an essential role for collaboration through landscape approaches to offer an alternative future for the communities that live there, as well as the companies that operate there.

The experience we’ve gained in Indonesia through these landscape initiatives – and the multiple other landscape initiatives where Proforest is engaged around the world – has been fundamental in informing our thinking on what landscape approaches can deliver and how best to support landscape initiatives to grow into mature, resilient programmes at scale. Our teams are working on the Landscape Blueprint, which brings together this learning and makes it available to implementers of other landscape initiatives, to help them move from pilot project to business as usual at scale.

 

Proforest Insights are drawn from our 25 years of practical experience in responsible sourcing and production of agricultural and forest commodities. This Insight is part of a series by Proforest’s senior leadership. The full series is available here.