The Palm Oil Products that President Jokowi Banned: Not CPO

The Palm Oil Products that President Jokowi Banned: Not CPO

InfoSAWIT, JAKARTA – To solve the expensive palm cooking oil in domestic markets, the government firmly decided to ban palm cooking oil materials and palm cooking oil itself.

Based on Circulars of General Director of Plantation Ministry of Agriculture Number 165/KB.020/E/04/2022 about Fresh Fruit Bunch (FFB) Price after President Joko Widodo (Jokowi) banned RBD Palm Olein exports, point (2) noted that crude palm oil (CPO) is not included in the ban.

The export bans just cover Refined Bleach Deodorize (RBD) Palm Olein, which has three post tariffs, they are, the first, HS No. 1511.90.36 (RBD Palm Oil in net weigh not more than 25 kg; the second, 1511.90.37 (others, within Iodine 55 or more but less than 60); and the third, 1511.90.38 (others).

Prior, General Directorate of Plantation got information that some mills decided to get smallholders’ FFB production cheaper in many regions. It got cheaper Rp 300 – Rp 1.400/Kg.

That is why the circulars suggested every governor to immediately send it to every regent/mayor in palm oil plantation centers, not to decide smallholders’ FFB price by their own perspective (not based on Fresh Fruit Bunch decision in provincial level). “There will be warn or sanctions to the companies or mills that break the Regulation of Minister of Agriculture Number 01 / 2018,” the circulars noted, as what InfoSAWIT got, Monday (25/4/2022) . (T2)