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Articles of Association


Indonesia has been known as the center of spices in the world including essential oil products. There are 40 types of Indonesian essential oils traded in the world, about 12 of which have been exported to world markets. Some Indonesian essential oil products are even very dominant in the world market, such as patchouli oil, vetiver, nutmeg, and cloves. National essential oil production activities involve many parties ranging from farmers producing raw materials, small and medium-sized refining industries, traders, collectors to advanced processing industries and exporters.

Indonesian essential oil society is part of the national business, cooperative efforts, and private businesses based on economic democracy must be able to play a role as an accelerator of healthy and dynamic national economic progress in achieving equality, justice and welfare.

The main problem of Indonesia's essential oil commodities on the international market is quality and supply instability. This is mainly because most of the essential oil production business is still carried out very simply, both in the cultivation of plants and processing the results. In addition, the efficiency and effectiveness of essential oils agribusiness is still relatively low. Indonesia as an important essential oil exporting country in the world must strive to develop production, quality and added value of essential oils and derivative products as well as its competitiveness will continue to strengthen and provide greater foreign exchange.

On September 20, 2006 at Sahid Raya Hotel Solo, Central Java during the 2006 National Essential Oil Conference facilitated by the Ministry of Industry and the Ministry of Agriculture, the Indonesian essential oil community consisting of farmers, refiners, traders, exporters, practitioners, researchers, the community who are concerned in essential oils, academics, essential oil industry companies and government in Central / Provincial / Regional agreed and declared to establish the Indonesian Essential Oil Council (DAI).

Thanks to the grace of God Almighty and encouraged by the care and desires of the Indonesian essential commu, the Indonesian Atsiri Council (DAI) Articles were formulated as follows:



Article 1

The council name is the Indonesian Essential Oil Council or abbreviated as DAI, domiciled in the capital of the Republic of Indonesia.

DAI’s work areas are throughout Indonesia.

DAI was established in Jakarta on May 4, 2007 for an unspecified period of time.

Article 2

DAI is a forum for all agribusiness and agro-industry stakeholders based on essential oils, flavors and fragrances both as organizations and individuals including farmers, refiners, traders, industry players and services, exporters, practitioners , researchers, academics, industrial users, observers and related Government agencies. The Indonesian Essential Council will oversee essential oil-based associations, flavoring and fragrances.



Article 3

The highest sovereignty is located at the National Conference which is an overall member meeting.



Article 4

DAI has the principle of Pancasila and is based on the 1945 Constitution.



Article 5

DAI's vision is Indonesia as the Center of Essential Oil Excellence in the World

Article 6

DAI's mission is as follows:

  1. Uniting all essential oil stakeholders in Indonesia and to protect and stand up for their best interests in the global market.
  2. Increasing the competitiveness of essential oil products.
  3. Encouraging the development of all essential oil products in Indonesia
  4. Establishing cooperation with foreign counterparts to assist the development of the domestic essential oil industry.



Article 7

The DAI’s aim is to advance the essential oil agribusiness and agro-industry for the welfare of all stakeholders in particular and society.

Article 8

DAI's tasks are as follows:

  1. Developing strategies for Indonesian essential oils development;
  2. Strive for government policy support for the development of essential oils business;
  3. Together with the University and Research Institute, DAI is being the information center for the development of national essential oils from all aspects related to technology and trade.
  4. In order to establishing coordination, synchronizing, and communication about the development conditions of national and international essential oils, it has been agreed upon by stakeholders / essential stakeholders to held meetings continuously as annual agendas such as conducting seminars, workshops, conferences, symposia, training, internships and other activities such as websites and mailing lists.



Article 9

The DAI symbol is a picture of 2 leaves that have been simplified in shape with each leaf tip opposite. The left leaf is green and the right is red. There is an Indonesian Essential Oil Council writing that has 2 colors namely black for the words "Board and" Indonesia "and red for the words" Essential Oil ".



Article 10

  1. DAI consists of individuals and or organizations, such as:
    • Farmers, farmer groups, distillers, associations and companies / cooperatives, flavors and fragrances;
    • Intermediary traders, exporters and importers;
    • Practitioners, researchers and the public who are concern in essential oils;
    • Academician; and
    • Related Government Agencies / Institutions;
  2. Every Indonesian citizen who has fulfilled the provisions of membership and agrees as well as able to comply the Articles of Association, Bylaws, Rules of Conduct, and Organizational Regulations can be accepted as a member of the DAI.
  3. The procedure for member registration, the rights and obligations and procedures for dismissing members is further regulated in the By-Laws.



Article 11

  1. DAI is a community functional organization that is independent, non-governmental and its activities is a non-profit nature.
  2. Regional DAI can be established in cities or districts throughout Indonesia led by a Regional Coordinator.
  3. The name of the regional DAI is in accordance with the name of the area determined by the Chairman.

Article 12

  1. The management of the DAI consists of the Board of Trustees, the Supervisory Board, the Advisory Board, and the Governing Council, which are appointed and dismissed by the National Conference. The procedure is further regulated in the By-Laws.
  2. The Board of Trustees, Supervisors and Advisors consists of leaders of essential oils and community agribusiness stakeholders who are considered capable of fostering, developing and advancing the organization and overseeing the running of the organization.
  3. The Board of organization is the highest committee who are responsible for his duties in the National Conference.
  4. The Board consists of a Chairman, several of Division chairman, an Executive Secretary, Treasurer, and several Commissions.
  5. The DAI management has a term of office of two years and can be re-elected.
  6. At the regional level the Board is represented by the Regional Coordinator who in carrying out his duties is responsible to the Chairman.
  7. Provisions regarding the duties, authorities, rights and obligations of the Governing Council are regulated in the By-Laws.



Article 13

  1. The types of DAI meetings include National Conferences, National Coordination Meetings, Board Meetings, and other Meetings.
  2. All decisions concerning organization and election of board are carried out in a democratic manner but are based on deliberation and consensus in a family atmosphere.
  3. Provisions regarding each type of consultation as referred to in paragraph (1) of this article are regulated in the By-Laws.



Article 14

Finance and wealth of DAI are obtained from:

  1. Fee for management fees and members;
  2. Assistance from the state, central and regional budgets;
  3. Other efforts carried out by DAI;
  4. Halal and non-binding donations;
  5. Transfer of rights for and on behalf of DAI.



Article 15

Changes, improvements or additions to this articles of association can only be made by the National Conference.



Article 16

  1. DAI can only be dissolved by the power of the decision in National Conference held specifically for this purpose.
  2. The decision to dissolve can only be done if the conference in paragraph 1 is attended by at least 2/3 of the board members of the central and regional DAI.
  3. The resulting decision is declared valid if approved by at least 2/3 of those present at the National Conference.
  4. When DAI is dissolved, the liquidation is carried out by the Governing Council under the Supervisory Board, and the remaining wealth of the Indonesian Essentials Council (DAI) after deducting all of its obligations, is surrendered to the government, or social organizations that are consistent and determined by the National Conference.



Article 17

For the first time, the DAI's Articles of Association began to take effect from the date of issuance of the DAI Organization Establishment Deed.



Article 18

This Articles of Association is supplemented by the By-Laws or by special provisions but may not conflict with this Articles of Association.