JAKARTA. The ongoing haze in Sumatra and Kalimantan could potentially threaten the production of PT Astra Agro Lestari Tbk (AALI).
AALI's management said that the haze directly affected the company's field workers, although the company has anticipated the condition through preventive efforts and putting out fires.
"It generally affects the company because our workers are directly exposed to the haze," said AALI CEO Santosa as quoted by CNBC Indonesia, Monday (23/9).
The condition is worsened by the prolonged dry season, which also impacts on palm production.
"So far the impact has not been significant, but the prolonged dry season will affect our production," said Mr Santoso, who predicts that AALI's production this year will be lower compared to last year. Last year the company's crude palm oil (CPO) production was recorded at 1.9 million tonnes, while this year's production is projected to only reach 1.8 million tonnes. (AM/MS)