East Java Launches Special Sugar Cane Farmer Cluster Credit Program to Boost Sugar Self-Sufficiency

Bondowoso, East Java - East Java Governor Khofifah Indar Parawansa and PT Sinergi Gula Nusantara (SGN) CEO Mahmudi launched a Special People's Business Credit (KURsus) program for sugar cane farmer clusters at Prajekan Sugar Cane Plantation in Bondowoso Regency.  
Source: suarajatimpost


This financing initiative aims to support plantation development, improve farmer welfare, and advance sugar self-sufficiency while transitioning to green energy through bioethanol production.  

"As Indonesia's top sugar producer, East Java is committed to elevating cane farmers from field laborers to dignified agripreneurs," stated Governor Khofifah during the launch.  

The KURsus program offers:  
- Fixed 6% interest rate  
- Credit renewal options for plantation rejuvenation (over 25 years old)  
- Funding for superior varieties to increase sugar yield from 7% to 8-9% per ton  
- Loan amounts between Rp35-100 million, exceeding conventional KUR's Rp500 million limit  

The program results from coordination between the Economic Affairs Ministry, SGN, and banks including Bank Jatim. "This accelerates sugar self-sufficiency, boosts farmer prosperity, and strengthens energy resilience," Khofifah emphasized.  

The initiative also supports green economy transition through bioethanol byproducts. "We're taking concrete steps toward net zero emissions," added East Java's first female governor.  

During the event, symbolic handovers included:  
- "Sweet Irrigation" water pumps  
- First batch of KURsus funds to beneficiary farmers  

Governor Khofifah reminded recipients to use loans productively for:  
- Premium seeds  
- Organic fertilizers/environmental pesticides  
- Efficient farming equipment  

"This isn't just about production quantities, but sustainable quality and equitable people's economy," she concluded.  
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