NES IV

closed

The Fourth Nucleus Estate and Smallholders Project will assist the Government to provide new settlement for 4,000 landless families on unutilized land in South Sumatra Province, using the public sector estate, PNP X, as the development agent under the nucleus estates and smallholders (NES) program. The main project components include block planting of 8,000 ha of oil palm and 4,000 ha of food crop establishment, development of 21 villages, erection of 4,000 houses, construction and upgrading of 92 km of village roads and the establishment of one 30 ton FFB/hr palm oil mill for processing smallholder production. A block crumb rubber factory with a capacity of 40 tons per day would also be constructed for 2,250 families settled under the NES I Project. The project would provide basic health services for about 20,000 people through the Government's provincial health program. Primary and secondary education would be provided for about 8,000 children. Technical assistance has been included in the project to strengthen PNP X's capacity in estate engineering and to assist the DGE with program support and start-up funds for a future NES project.