Deputy Minister of Social Affairs of the Republic of Indonesia, Agus Jabo Priyono, emphasised that CSR plays a highly strategic role and should no longer be viewed merely as an administrative obligation or short-term charitable activity. Instead, CSR should become an integral part of national development strategies and sustainable social development efforts that generate tangible benefits for communities.

“The business sector is expected to transform CSR programs from a charity-based model into sustainable community development initiatives that are implemented consistently and continuously. Such programs can serve as a key bridge toward creating independent and prosperous communities. Our greatest strength lies in collaboration. When government, businesses, media, academia, and communities work together, social challenges can be addressed more effectively and efficiently,” said Agus Jabo Priyono.

In his opening remarks, Founder and CEO of The Iconomics Media, Bram S. Putro, expressed hope that the forum and awards would further encourage the evolution of CSR toward a more collaborative, strategic, impactful, and sustainable model.

“Congratulations to all companies receiving the Indonesia Best CSR Award 2026. The awards are based on direct beneficiary assessments through a survey of 10,000 respondents across 10 major cities in Indonesia. The evaluation is based on two key dimensions: CSR Activity Awareness and CSR Image,” said Alex Mulya, Director of Brand Research and Strategy at The Iconomics Media.

This recognition further underscores Astra Agro’s success in fostering harmonious relationships between the Company, local communities, and the environment through meaningful contributions that support sustainable development and improve community welfare.

As part of its long-term commitment to sustainability, Astra Agro continues to implement CSR programs that create shared value for stakeholders while contributing to Indonesia’s broader social, economic, and environmental development goals.

The event also served as an opportunity for the company to highlight various sustainability initiatives implemented in its operational areas, including community empowerment programs in East Kalimantan.

Arifin, a representative of Astra Agro’s East Kalimantan Management, stated that the media plays a crucial role in conveying accurate information to the public.

According to him, an open and constructive relationship between the company and the media must be maintained so that the public can receive comprehensive and balanced information.

“The media plays a strategic role in conveying various information to the public. Therefore, we hope that the communication we have established can continue to be strengthened,” said Arifin in Balikpapan on Tuesday (March 10).

He added that Astra Agro views sustainability as a vital part of its business operations. The company focuses not only on business performance but also on social and environmental contributions.

“A company must be able to grow alongside the surrounding community. Therefore, every operational activity is designed to provide benefits that the community can directly experience,” he said.

This commitment is also in line with Astra Agro’s Sustainability Aspirations, implemented through the 3P Roadmap strategy, which focuses on Portfolio, People, and Public Contribution.

Meanwhile, Zakaria, the Sustainability Assistant for the CSR Division in East Kalimantan, explained that various community empowerment programs continue to be implemented as part of the company’s sustainability commitment.

“Our Social and Environmental Responsibility (SER) programs are designed to provide sustainable benefits to the community while strengthening the harmonious relationship between the company and the community,” he said.

He said that Astra Agro’s TJSL program is implemented through four main pillars: Astra Kreatif (economic development based on local potential), Astra Sehat (improving access to and quality of healthcare services), Astra Cerdas (improving the quality of education), and Astra Hijau (environmental conservation).

In the economic sector, the company provides assistance to MSMEs, POKDAKAN, local supplier and contractor partnerships, external TBS partnerships, farmer groups, and fisherfolk groups through capital assistance, provision of production facilities, and strengthening of business management and marketing to drive increased income and economic self-reliance among communities.

In the health sector, Astra Agro implements various programs to strengthen Posyandu (community health posts) through the provision of supplementary food (PMT) for toddlers, health check-ups for the elderly, training for health cadres, and health education as promotive and preventive measures to improve the health of mothers and children.

The company also supports the education sector by providing incentives for teaching staff, scholarship assistance, teacher competency development, mentoring for SMK Bisa, teacher internships, student and university student internships, classroom activity support, and learning resources to support teaching and learning activities in schools near its operational areas.

Meanwhile, in the environmental aspect, the company implements various initiatives such as waste management education, reducing plastic use, clean water facility assistance, mentoring and supporting community-based waste banks, reforestation, and river restoration activities that also support community activities.

These various initiatives are expected to foster community economic self-reliance, improve health and education quality, and strengthen collective awareness in preserving the environment.

Through this spirit of community engagement, Astra Agro is optimistic that harmonious relationships with stakeholders will continue to be maintained, as part of the company’s commitment to fostering synergy between the earth and humanity, for a united Indonesia.

Susila Darma Wati, Vice President of Sustainability, stated that this recognition motivates Astra Agro to further strengthen its commitment to sustainability across the company’s operations. She emphasized that responsible business practices are a critical foundation for the long-term sustainability of the palm oil industry.

She added that sustainability practices in the palm oil industry are not just a trend, but have become part of the DNA, as reflected in Astra’s 2030 Sustainability Aspiration commitment. This aspiration aims to ensure that sustainability principles are integrated into the company’s business strategy, human resource management, and social and environmental contributions.

Astra Agro received the “Special Recognition on Carbon Sequestration” award for its Nature-Based Solution (NBS) program. As part of this initiative, Astra Agro planted trees at PT Pandjiwaringin to actively absorb atmospheric carbon emissions. The company introduced ten species of high-carbon-absorption forest trees, including Mahogany, meranti bunga, and Teak.

Astra Agro will measure and verify carbon emission absorption through the SPE-GRK (Greenhouse Gas Emission Reduction Certificate) scheme to support Net Zero Emissions targets. By 2030, the company projects that this program will absorb up to 34,000 tons of CO₂eq.

In addition to its achievements in carbon emission reduction, Astra Agro received the “Special Recognition on Biodiversity Progress” award for its biodiversity management efforts. This recognition demonstrates that oil palm plantation operations can align with environmental conservation objectives.

Astra International asserts that Astra Agro has maintained a balance between business activities and biodiversity protection. This is evidenced by the completion of High Conservation Value (HCV) studies by all Astra Agro subsidiaries, reflecting the company’s commitment to sustainable practices.

Astra Agro’s commitment and conservation practices serve as a reference for other entities within the Astra Group. In September, Astra Agro collaborated with the Center for Transdisciplinary and Sustainability Sciences (CTSS) of IPB University to conduct training aimed at enhancing technical competence and coordinating conservation implementation in plantation landscapes. The training was attended by 25 participants from various Astra Group entities.

This achievement further highlights PT Astra Agro Lestari Tbk.’s commitment to integrating sustainability principles across all aspects of its operations. By employing a nature-based approach to carbon emission reduction and systematic biodiversity management, Astra Agro continues to serve as a benchmark for sustainable practices within the Astra Group.

This was revealed in the annual Public Expose (Pubex) held after the Annual General Meeting of Shareholders (AGMS) at Menara Astra on Monday (28/4/2024). For the Company’s solid performance, at the AGMS, the shareholders approved the use of the company’s net profit ending December 31, 2024 of Rp1.1 trillion. In addition, a dividend distribution of Rp515.8 billion or equivalent to Rp268 per share was also approved. On October 24, 2024, the Company paid an interim dividend of Rp161.7 billion, equivalent to Rp84 per share. The remaining Rp354.1 billion, or equivalent to Rp184 per share, will be paid to shareholders on May 28, 2025.

“The price increase has pushed our revenue up 5% yoy to Rp21.82 trillion, with the Company’s net profit increasing 9% from Rp1.06 trillion to Rp1.15 trillion by 2024. In addition, the strategy of implementing cost efficiency, improving operational excellence, and innovation in the production process that is carried out consistently as part of continuous improvement has enabled the Company to reap maximum results,” said the Company’s Director, Tingning Sukowignjo.

For information, the average CPO price in the Rotterdam market increased by 12% from US$964/ton in 2023 to US$1,084/ton in 2024. The increase in global prices positively impacted the Company’s average CPO price, which also increased by 15.6% in 2024 to IDR 12,883/kg from IDR 11,142/kg in 2023. On the other hand, the average price of soy oil decreased last year due to higher production compared to other vegetable oils, making the global vegetable oil market more competitive.

Throughout 2024, 69% of Astra Agro’s sales was coming from the domestic market. This aligns with the commitment to succeed in government programs, especially in meeting domestic palm oil supply through the Domestic Market Obligations (DMO) policy. Meanwhile, 31% of Astra Agro’s sales are to meet global needs through the export market to various countries, including China, India, South Korea and Pakistan.

Commitment to Innovation and Sustainability in Corporate Governance

Amidst the operational challenges facing the Indonesian palm oil industry, including Astra Agro, the AALI-coded Company continues to focus on Research and Development (R&D) to create discoveries that can drive sustainable operational performance in the future. These efforts are also in line with the sustainability initiatives contained in the Company’s strategy, Astra Agro Sustainability Aspirations 2030, which focuses on efforts to reduce the effects of greenhouse gases (GHG), diversity and environmental inclusion, as well as ensuring that the Company’s operations have a good impact on the communities around the Company’s operational areas and the Indonesian nation in general.

In 2024, the Company made another big leap by building a methane capture facility. Currently, the Company has two methane capture units in Riau Province that aim to reduce Greenhouse Gas (GHG) emissions while providing energy efficiency in the form of New Renewable Energy (EBT). The Company’s initiative aligns with the Astra Agro Sustainability Aspirations 2030 portfolio roadmap strategy.

“Methane capture can reduce methane gas emissions from Palm Oil Mill Effluent (POME) to zero. The Company also maximizes Warehouse Management System (WMS) activities. Meanwhile, the Company has reduced greenhouse gases (GHG) by 126.33 kilotons of CO2.” Said Astra Agro President Director Djap Tet Fa.

Djap Tet Fa added that the Company has implemented a replanting program covering 5,052 hectares, or an increase of 7% yoy in 2024. The replanting process uses superior seeds developed by the Company’s R&D team. This program, he continued, is important as an effort to intensify land without ignoring the balance of the ecosystem.

Innovation and technology are always applied in business processes to improve company performance. Astra Agro’s operational areas have utilized Drone Monitoring System (DMS) technology to monitor operational performance. This technology is supported by a room or control room that collects all monitoring data, making it easier for management to access field monitoring in real-time.

Changes in the Board of Directors and Commissioners of Astra Agro

In the third meeting agenda of the 2025 AGMS, the Shareholders approved the agenda of changes in the composition of the Company’s Board of Directors. Namely, Mr. Santosa replaced Mr. Chiew Sin Cheok as President Commissioner of the Company.

In the renewal of the composition of the Company’s Board of Directors, Mr Djap Tet Fa replaced Mr Santosa as President Director, while Ms Veronica Lusi Herdiyanti was appointed to replace Mr Djap Tet Fa as Director. Then, Mr Bandung Sahari replaced Mr M. Hadi Sugeng Wahyudiono, who retired, as the Company’s Board of Directors.

At this year’s AGMS, Astra Agro announced changes to the composition of the Board of Commissioners and Board of Directors as follows:

President Commissioner : Santosa
Commissioner : Johannes Loman
Commissioner : Aridono Sukmanto
Commissioner : Ratna Wardhani
President Director : Djap Tet Fa
Director : Tingning Sukowignjo
Director : Widayanto
Director : Eko Prasetyo
Director : Arief Catur Irawan
Director : Veronica Lusi Herdiyanti
Director : Bandung Sahari

The new composition of the Astra Agro 2025 board of directors, including the addition of female director Mrs Veronica Lusi Herdiyanti, further strengthens Astra Agro’s commitment to diversity and inclusiveness. Focusing on gender, the Company has driven performance toward resilience amid the volatility of the palm oil industry.

The Company supports the role of women, including opening opportunities for them to become leaders, as it is known that Astra Agro adheres to the principles of human rights and gender equality, with a primary focus on protecting women and children.

Astra Agro President Director Djap Tet Fa said that he will strive to maintain the Company’s performance, which has been built for a long time. In addition, Astra Agro’s consistency in carrying out sustainability commitments will always be maintained because it has become part of the Company’s Strategy.

“We believe that implementing Good Agricultural Practices (GAP) can always go hand in hand with the principles of sustainability. We believe that Astra Agro’s commitment to prioritizing both aspects can improve the Company’s performance in the coming years, supported by research and innovation that continues to be developed,” said the President Director of the Company, Djap Tet Fa.