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CPO Export Levy Deletion Should Make FFB More Expensive Rp 600/kg, What Happen in the field?



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CPO Export Levy Deletion Should Make FFB More Expensive Rp 600/kg, What Happen in the field?

InfoSAWIT, JAKARTA – The temporary deletion of palm oil levy which Palm Oil Plantation Agency (PFMA) managed, based on the Regulation of Minister of Finance Number 115/PMK.05/2022, should actually make smallholders’ fresh fruit bunch (FFB) better.

One independent smallholder, Wayan Supadno said, the temporary levy deletion is equal to Rp 3 million/ton of crude palm oil (CPO) or Rp 3.000/kg of CPO. (within currency Rp 15.000 per United States Dollar).

If conversed to FFB within the average yield 20%, FFB would be much expensive about Rp 600/kg. But the field fact showed, FFB gets better only about Rp 50/kg. “This is ridiculous if smallholders’ FFB gets more expensive only Rp 50/kg. Many mills do not operate still,” he said to InfoSAWIT, Tuesday (19/7/2022).

By this, Wayan predicted, the companies’ mills to empty their full storage tanks does not run well, based on Indonesian Palm Oil Association, the stock still 7,2 million ton. “It means, the exports seriously face issues. It could be from domestic market obligation and domestic price obligation and the companies are difficult to get ships to export,” he said.

He also suspected the slow export could happen for Indonesia lost some CPO buyers in abroad. It is a must for industrial scale to provide about 3 million tons per month and should consistently supply it. “If this is a failure, the industries would be in big losses. Their costumers would be no more. This is the supply chain globally,” Wayan said. (T5)

This article was published at sumatera.infosawit.com with the title © Harga TBS Cuma Naik Rp 50/Kg, Sepertinya Ada yang Keliru.

 

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