MIND ID Group hands over CSR Program for Essential Oils Development to the Bangka Belitung Islands Provincial Government

BANGKA BELITUNG, 27 January 2023 - MIND ID or Mining Industry Indonesia, the Holding State-Owned Enterprise for the Mining Industry, with members PT Aneka Tambang Tbk, PT Bukit Asam Tbk, PT Freeport Indonesia, PT Inalum (Persero), PT Timah Tbk and PT Vale Indonesia Tbk, hands over the MIND ID’s CSR Collaborative Program for the Essential Oils Potential Development, to the Provincial Government of the Bangka Belitung Islands, at the Mahligai Building, official residence of the Bangka Belitung Governor, on Thursday (26/1/2023).

MIND ID’s President Commissioner Doni Munardo and other MIND ID Commissioner members, members of the MIND ID Board of Directors, President Commissioner of PT Timah Tbk, Alfan Baarudin, and Board of Directors of MIND ID Members, as well as the Indonesian Essential Oils Council, attended the event. 

The CSR assistance was symbolically handed over by the representative of the MIND ID Member to the Bangka Belitung Governor, Ridwan Djamaluddin, witnessed by the President Commissioner.

The assistance, which covers six package of MIND ID Group Collaborative CSR program on the Development of Essential Oils Potential to the Bangka Belitung Islands Provincial Government, consists of one unit of distillation machine with a capacity of one ton, installation and training, construction of distillation house, storage warehouse, mobile cart and working capital.

The essential oils development program is an implementation of one approach of the circular economy implemented by the MIND ID Group. MIND ID encourages the potential of the sapu-sapu trees in Bangka Belitung Island Province to be processed into essential oils.

MIND ID’s President Commissioner, Doni Munardo, said that the essential oil development program is a step taken by the MIND ID Group to drive new economy for the people of Bangka Belitung by utilizing the available natural potential. 

He explained that the sapu-sapu trees in Bangka Belitung is not found in other regions. This has prompted the MIND ID Group to collaborate with the Provincial Government. Essential oil is known as one of the commodities traded globally and has an extensive market share. 

The communities in the surrounding areas of the mines are expected to get added value from the processing of essential oils from the sapu-sapu trees. This will allow the communities in the post mining phase to remain prosperous.

“We designed a sustainable program to support the post mining program, one of which is reclamation with the sapu-sapu trees. Based on our observations, there are many trees of this kind especially in Belitung Island. We will utilize this resource by facilitating the training and mentoring as well as distillation equipment to produce essential oils from the sapu-sapu trees which will have high economic value,” he added. 

In implementing the business process, the MIND ID Group always strives to create an ecosystem balance and empowering the local people for a sustainable economic impact to the communities.

“We want this program to be sustainable and the communities in the surrounding mining areas are able to live not only from the mining sector but also enjoy economic benefits from other sectors, thereby providing added value for the communities,” he said.

Meanwhile, MIND ID’s Director of Institutional Relations, Dany Amrul Ichdan, said that the essential oil development program will create a new ecosystem in the approaches to circular economy implemented by the MIND ID Group.

He explained that in the mining industry’s circular economy concept, it should be possible to monetize, capitalize and properly utilize all mining, products and post-mining assets, in order to provide added value to communities.

“The essential oils program in Bangka Belitung is a role model that integrates three TJSL and CSR priorities according to the Regulation of State Enterprise Minister No 5 of 2021, namely environment, elevating human resource quality and raising the class of SME partners under the stewardship program,” he said.

He went on to explain that this is in line with MIND ID’s sustainable pathway, in which not only the corporation, but also the surrounding communities, are sustainable. Supporting the productivity of the communities can provide economic added value to the local people and regional government.

“We support the development of essential oils into downstream products. We support the consolidated creation of the dashboard for MIND ID Group’s partners under the stewardship program containing local choice products, with e-commerce to enter the digital market, to drive local wisdom into national wisdom, subsequently global wisdom,” he said.

Acting Bangka Belitung Governor, Ridwan Djamaluddin, appreciates the concrete measures of the MIND ID Group to support the economic transformation in Bangka Belitung by developing the potential of the sapu-sapu trees for the production of essential oils.

“I am very thankful for the initiative of MIND ID to collaborate in this program. We will henceforth form a management team. The assistance provided by MIND ID is not cheap and will be properly utilized, in order for the transformation of economic activites of people in Bangka Belitung to be successfully implemented, with the encouragement from the mining industry,” he said.

He hopes that the collaboration will be able to drive the economy in Babel. The assistance will subsequantly be distributed to the regencies/municipalities in Babel.

“This is also a way of dealing with the critical land in Bangka Belitung, turning it into productive land which can impact the economy of the local people. We also invite the millenial generation to utilize this opportunity,” he added.

Chairman of the Indonesian Essential Oils Council, Irdika Mansur, said that the company’s reclamation program does not only concern greening, but also providing direct economic benefits for the local people.

“We are extremely pleased and appreciate the efforts of the MIND ID Group to promote essential oil as the subject of Community Empowerment in former mining land. This is very interesting and, of course, provide economic impact to the communities,” he said.

Essential oil, he explained, has wide a market share as it is used by various industries such as pharmaceutical, beauty and other industries. “The market share is extensive as it is needed in various industries. The local people are also directly involved in this sector, especially with the support from the MIND ID Group,” he concluded.