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Indonesia castor supply chain due diligence
Expert Farmer was engaged to assess whether HPI’s Indonesian Castor & Soybean project could become a reliable, quality source of castor oil for long-term supply diversification. The mission tested the project from the field to the crushing plant, covering large-scale farms, outgrower production, research capacity, industrial readiness and commercial assumptions. The assignment positioned Expert Farmer as a technical and strategic advisor able to separate promise from execution risk in complex agricultural value chains.
Indonesia castor supply chain due diligence
Location
Indonesia
Production
Castor Beans
Delivery
2018
Area
8,500 ha
Client
Undisclosed
Sector
Private
Service(s)
Technical due diligence
The challenge
The project combined a substantial industrial crushing investment with unsecured seed supply, unsuitable large-scale production sites, unrealistic yield assumptions, limited technical control and an upstream model that required redesign across farms, outgrowers, seed systems and logistics.
The result
Expert Farmer turned a high-potential but high-risk opportunity into a structured decision framework, helping the client qualify the opportunity, understand supply constraints, protect its sourcing strategy and define the conditions required before making commercial commitments.
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Brief of the project
Strategic supply chain due diligence
Expert Farmer assessed HPI’s ability to become a credible castor oil supplier by reviewing the investor profile, management capacity, historical development path, project governance, industrial ambition and sourcing strategy. The work connected a corporate supply need to the operational reality of a developing agricultural project, with particular attention to the alignment between crushing capacity, seed availability, price assumptions and execution capability.
Field and agronomic verification
Our experts reviewed the two large-scale production sites on Sumba, checking soil conditions, crop establishment, irrigation infrastructure, mechanization potential, cultivar performance and observed plant health. The review went beyond visual inspection: it challenged the production model, the yield assumptions and the technical feasibility of producing castor at competitive cost under the selected conditions.
Out-grower and local farming model assessment
Expert Farmer evaluated the smallholder production component, including producer-group organisation, crop economics, intercropping practices, labor requirements, sales incentives and the potential to expand contracted production. This analysis showed how a well-designed out-grower approach could become a more credible development pathway than an over-capitalised plantation model.
Industrial and commercial alignment
The mission also reviewed the crushing plant under construction, storage capacity, processing equipment, logistics and the gap between industrial readiness and agricultural supply. Our value was to connect agronomy, economics and industrial supply into one practical client decision. This integrated view helped identify what had to be corrected before any volume commitment could be considered.