2 Proposals from Jaringan Petani Sawit Nasional to Increase Oil Palm FFB Prices

2 Proposals from Jaringan Petani Sawit Nasional to Increase Oil Palm FFB Prices

Palmoilmagazine, Press conference event of POPSI, facilitated by InfoSAWIT, Wednesday (20/7/2022) at Cikini, Jakarta.

 
Palmoilmagazine, JAKARTA - Referring to the analysis of Suaduon Sitorus from the National Oil Palm Farmers Network, in order to recover the price of FFB in the future, there are at least two steps that the government can take, first, normalizing the market chain, because so far the CPO stock buffer has always been the reason for the emergence of various policies. To overcome this, the way to do this is to revoke the Domestic Market Obligation (DMO) and Domestic Price Obligation (DPO) and Flash Out (FO) and Export Levy (PE) policies.
 
 
Then secondly, the government must provide incentives to export actors by reducing the value of Export Duties (BK). Currently what the government is doing is not a complete solution because the PMK regulation no. 115/2022, the elimination of PE is only valid until August 31, 2022, while as of September 2022 it will be held again and the value will be US$ 240.
 
Suaduon said, with a policy like that, it would be even more dangerous because in addition to the abolition, it also ensures that there will be a bigger increase in levies than before, which only reached US$ 200/ton to US$ 240/ton.
 
"This will give a response to entrepreneurs by not increasing the price of palm FFB, we see this as a sissy solution," he said at the Press conference event of the Association of Indonesian Palm Oil Farmers (POPSI), facilitated by InfoSAWIT, Wednesday (20/7/2022) at Cikini, Jakarta.
 
Furthermore, Suaduon said, for oil palm farmers who are not familiar with the elimination of Export Levy, it is considered that they will give hope. "We hope the existing associations can have a vision of a common struggle and demand the government's seriousness in dealing with farmers' problems," he said. (T2)

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