Oil palm trunk replanting as brown sugar raw materials

Abstract

The trunks of unproductive oil palms that are rejuvenated can be used to make brown sugar as an innovation and additional income for farmers. The goal of this research is to know the utilization of palm trunks as brown sugar raw materials. Additionally, to know the break event point (BEP) and to analyze the fitness of return cost of ratio from agroindustry of oil palm's brown sugar in Kampung Maredan Barat Kecamatan Tualang Kabupaten Siak. The method of data collection is done through interviews with sellers using questionnaires. The result showed that oil palm trunks can be utilized with roughly 45 trunks out of 120 trunks in total per ha (37%). This business can gain 3,811,650 IDR with 310,265.6 IDR as BEP. The ability to produce on average is 900kg per month with BEP score is 22.4kg. The return cost of ratio is (1.44 > 1) and as it is bigger than one, so this business is fitting.