The company was founded in early 1875. In the year of The company is still in the form of an individual. Initially the company was founded by Mr.The Thay Hoo, by forming a tobacco sales business, to be sold retail to the public and not supplying cigarette companies yet. Then it was continued by the 2nd generation by Mr.The Tong Liat, under his leadership, he expanded to enter a cigarette company in Semarang. After that, the business was continued by the third generation by Mr.Setio Sugiarto (The Kiem Soe), and continued by the 4th generation by Mr.Jopie Samiadji, and now it is in the 5th generation of leadership by Mr.Evan and in 2023 the company develop become PT Lampion Agrikultura Indonesia.
Initially,the company developed a supplier busines model tobacco, the development was carried out in 2005, from previously only acting as a tobacco buying agent, then adding to the activity model by becoming a company that has a farmer partnership system. In that year the company took the first steps to form a partnership with 4 farmers with a land area of 2 hectares. In the first year the partnership started, there were obstacles in the weather conditions which were not good for the tobacco growing season, but during the harvesting process, the farmer partners got good results and sold at good prices on the market even though the climate was not good at that time, so the company saw this partnership as having positive value for both the company and the farmers.
In 2006 the company increased the number of farmer partnerships so that it was widespread the land area increases to 8 hectares and has a larger production capacity than before. This year the yields were good and they were sold at good prices, so that in 2007 many other companies also joined the partnership system. That year was the next step for the company to start developing partnerships to date. The company, which initially had partnerships with 4 farmers and only with a land area of 2 hectares, has now developed into a large company with a total of 469 farmer partners and a partnership area of up to approximately 500 hectares. The distribution of the company's land points is divided into several clusters, namely, the Sindoro cluster has 276 points and for Sumbing it has 1,026 points, the Tualo cluster has 86 points, the field cluster has 154 points with a total area of all clusters of 500 hectares.
To deal with climate change and weather that often changes at any time, the strategy adopted is to collaborate with BRIN (National Research and Innovation Agency). The collaborative activity is in the form of developing wet stress-resistant kemloko tobacco varieties, for the research process it takes up to 3-5 years to find the best variety needed.
Research activities have been started since 2019 by BRIN, for the current results, it is already in the 3rd generation of Kemloko tobacco products, even though it has shown success, but development will continue to be carried out until it reaches the maximum variety, not only resistant to weather but also able to provide good quality tobacco, and for the target of BRIN is the 6th generation of Kemloko tobacco products.
In this process, variety development is carried out in Malang and Temanggung. The company facilitates labor experts and researchers as well as selected farmers to support the research and research process carried out in Temanggung.
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