Transforming Agriculture: Investment to Support Sustainable Practices and Reduce Pesticide Impact
Press Release - 1 November 2024
Bali, Indonesia — Terratai, Asia’s first venture builder for nature, is excited to announce a significant investment in Pandawa Agri Indonesia (PAI), a pioneering company specializing in agri-tech solutions that enable farmers to radically reduce pesticide usage.
In Indonesia, an estimated 72% of agricultural land is degraded due to excessive use of chemical inputs - often over 450 kg per hectare - far above international norms. As well as severely impacting soil health and biodiversity on farms, the over-use or misuse of pesticides severely impacts pollinators, other insects and aquatic life, which has devastating impacts on the wider ecosystem, in addition to well documented risks to human health. Pesticides are largely derived from petrochemicals, and as a result also have very high embedded carbon emissions – for example, the manufacture of glyphosate, the world’s most popular herbicide, creates over 31 kilograms of carbon dioxide equivalent (CO2e) per kilogram of product.
Since its inception in 2014, PAI’s ‘reductants’ - products that reduce the need for pesticide application by up to 50%, which themselves have a emissions footprint of 0.65 kg of CO2e per kilogram - have been applied across 3 million hectares of land in Indonesia and Malaysia, eliminating the need for up to 2 million liters of pesticides annually. Additionally, testing demonstrates that the use of PAI reductants can also contribute to significantly reducing the hazardous residue of pesticides in soil and water and the mortality of pollinators and earthworms, crucial for maintaining yields and improving soil fertility.
Terratai’s support for the partnership is a recognition of the potential of PAI products to rapidly reduce pressure on nature and biodiversity at scale, while reducing greenhouse gas emissions and impacts on human health and supporting farmers to transition to more resilient and sustainable agricultural practices. The support, which totals IDR 3 billion (US$ 185,000) will be directed towards increasing PAI’s production capacity, which will potentially unlock reductions in chemical inputs and positive nature and biodiversity outcomes across 5 million hectares of Indonesian agricultural area — equivalent to an area eight times the size of Jakarta.
This investment reflects Terratai’s commitment to supporting high potential businesses that tackle the food system challenges driving ecosystem and biodiversity loss in Asia’s most at-risk land and seascapes. Terratai’s CEO, Matt Leggett states: “By using PAI products, every farmer across every supply chain can play a meaningful role in supporting biodiversity by reducing the volume of chemical inputs in their soil and water. We believe in the need for multiple strategies to protect biodiversity and nature, and PAI products are a crucial stepping-stone towards a stronger, more resilient, nature positive food system in Asia.”
PAI’s CEO, Kukuh Roxa shares his excitement, "We are honored to receive this support from Terratai, as it reflects our shared commitment to advancing sustainable agriculture practices and reducing environmental impact at scale. This upscaling facility enables us to further our mission to reduce toxic synthetic pesticides residue, a goal that is essential for safeguarding both biodiversity and the health of our communities. With expanded production capacity, we are well-positioned to make an even greater positive impact on Indonesia’s agricultural landscape. We look forward to working closely with Terratai to transform agriculture and build a more sustainable agricultural ecosystem in Indonesia and beyond."
This partnership represents a significant step towards a sustainable agricultural future, highlighting the importance of innovation in driving positive environmental change.
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For media inquiries, please contact:
Junia Anindya Purwandani
Corporate Sustainability and Communications – Pandawa Agri Indonesia
junia@pandawaid.com
+62 813-5167-0869
Naimmah Nur Aini
Communication & Engagement Officer – Terratai
naimmah@terratai.com
+62 856-414-88-333
About Pandawa Agri Indonesia:
Pandawa Agri Indonesia is an agri-life science company based in Indonesia. Founded in 2014, PAI is committed to enhancing farmers’ productivity while protecting the environment and promoting biodiversity. As the only company currently pioneering innovations in pesticide-reducing products, PAI provides scalable solutions for farmers to reduce excessive chemical synthetics in agriculture. Their innovative formulations and technology have been utilized on farms across Indonesia and Malaysia, promoting sustainable farming practices that protect the environment and uplifting farmers’ welfare.
About Terratai:
Terratai is Asia's first venture builder for nature, focused on small businesses delivering nature-based solutions. Established with the aim of addressing the shortfall in early-stage funding for nature-centric enterprises, Terratai is dedicated to amplifying and expanding impactful endeavors that tackle systemic hurdles within the realms of food sustainability and environmental preservation. The organization offers impact orientated businesses support by providing financial solutions, NBS technical expertise and business development.
