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Ministry of Trade: Optimist that CPO Exports through Indonesian Exchange Would immediately be Realized

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Ministry of Trade: Optimist that CPO Exports through Indonesian Exchange Would immediately be Realized

InfoSAWIT, JAKARTA – Ministry of Trade through its collaboration units - Badan Pengawas Perdagangan Berjangka Komoditi (Bappebti) with General Directorate of Foreign Trade did the third public consultation in Ministry of Trade, Jakarta on Wednesday (23/8).

The meeting was attended by many exporters, associations that related to palm oil, and Indonesian Chambers. It was about to get crude palm oil (CPO) exports run through (Indonesian) exchange well and there would be no issue in exports.

“CPO export policy through (Indonesian) exchange would be about to establish its reference price which is transparent, accountable, and real time and also would refer to the mandate of Laws Number 32 / 1997 as it was substituted through Laws Number 10 / 2011 about Commodity Features,” Head of Bappebti, Didid Noordiatmoko said, as in the official statement to InfoSAWIT, Thursday (24/8/2023).

He also mentioned that CPO reference price would be useful both for upstream sectors, such as, improving fresh fruit bunch (FFB) price in smallholders’ level and in the upstream sectors, such as, to optimize revenue from tax. That is why the government hoped that every CPO actor would actively participate because the policy would be effective and depending on every party’s roles.

CPO export policy through (Indonesian) exchange, Didid continued, would have some policies, they are, the Regulation of Minister of Trade about CPO exports, then there would be Regulation of Bappebti and Administration regulation as the technical guidelines to exchange execution and supervision.

General Directorate of Foreign Trade, Budi Santoso was optimist that CPO export policy through (Indonesian) exchange would be the big opportunity for Indonesia. as the biggest palm oil producer in the world, Indonesia should be able not only to supply the stocks in the globe but also control the market through CPO reference price.

“Now there is transition which is the industries are dominated by northern countries to be mastered by southern ones, including CPO industries. This is the good chance for Indonesia to develop industries in CPO base and advantage new markets to northern countries,” Budi said. (T2)