Palmoilmagazine, Jakarta – After President Joko Widodo revoked crude palm oil (CPO) and its derivative and palm cooking oil export ban in his virtual press conference (19/5/2022), Coordinator Ministry in Economy directly responded it by coordinating with Ministry of Trade and Ministry of Industry about 12 export products to be postponed. This has something to do with bulk palm cooking oil distribution.
The markets normally responded the export revocation.
CPO trade was still normal. According to Malaysian Palm Oil Council (MPOC), it was at RM 6.072 per ton with the currency US$ 0,23/RM, or about US$ 1.380/Ton.
In the previous, it was increasing when CPO export ban was still available. On 29 April 2022, CPO was RM 7.104 per ton or US$ 1.643 per ton.
CPO Price Started Decreasing Globally
To maintain palm cooking oil materials, the government would re-implement domestic market obligation (DMO) and domestic price obligation (DPO), that Ministry of Trade would regulate to provide about 10 million tons. 8 million tons would be for the supply and 2 million tons would be for the stocks, as Badan Pengawasan Keuangan dan Pembangunan (BPKP) analyzed.
“Ministry of Trade would decide the needs to be fulfilled by each producer and the mechanism to the people would really be done and right on target. Every producer that breaks the policy would get sanction based on the regulation,” Coordinator Minister in Economy, Airlangga Hartarto said in the press conference, Friday (20/5/2022) that Palmoilmagazine attended. (T2)