InfoSAWIT, JAKARTA - Serikat Petani Kelapa Sawit (SPKS) asked the government to decide that the cheapest selling price of palm oil fresh fruit bunch (FFB) that the company should buy from the smallholders is Rp1.500 per kilogram (kg). It is to maintain their economy when the market situation takes place.
Chairman of SPKS, Mansuetus Darto said, in July 2018, the average FFB price is about Rp 800/kg to Rp 1.000/kg. But in the early days of this year, it was about Rp 1.800/kg to Rp 1.900/kg.
The decreasing selling price may happen for the trade war between China and United States of America which presses the palm oil demand globally when the production increases. “Of course, the government should handle it to stabilize the price,” he said after meeting Coordinator Minister in Maritime, Luhut Binsar Pandjaitan in Luhut’s office, Tuesday (24/7/2018).
In his exposure in front of Minister Luhut, as an independent smallholders’ organization having about 52 thousand members in six provinces in Indonesia, SPKS urged the government to concern about them. One thing to do is by protecting them because of the price issue by publishing the minimum standard price when the factories (companies) buy FFB.
In addition, the data from SPKS, the FFB price is about Rp 800 – Rp 1.060/kg in July 2018. “So the government should stabilize the buying price from the smallholders to prevent the economic issues because of crisis,” he said.
SPKS hoped that the government could do some things, such as, prevent the over production in the future by giving no license to enlarge palm oil plantation.
Then the government should get the best ways for the smallholders cultivating in the peat so that they could do other commodities. “The cheaper price would not be good for them,” Darto said in the exposure that InfoSAWIT got. (T2)