Freehold Right to Cultivate, known as "Hak Guna Usaha" (HGU), is a type of land ownership granted by the state government for agricultural, fisheries, and animal farming purposes.
This right is valid for a maximum of 35 years, with a possible renewal of 25 years.
Key Functions of HGU:
Agricultural Use: HGU allows the land to be used for farming, including agriculture, fisheries, and animal farming.
Renewal: The right can be renewed for an additional 25 years.
Transferability: HGU can be transferred or sold to other eligible individuals or entities.
Legal Protection: Owners are legally protected under Indonesian law to ensure their rights to cultivate the land.
In simple terms, HGU allows the use of land in Indonesia for agricultural purposes for up to 35 years, with an option to renew for another 25 years, granted by the state government.