Implement Palm Oil Audit, Luhut Ensures For The Purpose Of Improved Governance

JAKARTA - Coordinating Minister for Maritime Affairs and Investment, Luhut B. Pandjaitan said the government's audit of oil palm plantations was carried out in order to improve national palm oil governance. Currently, through SIMIRAH 2.0, data on the distribution of CPO and cooking oil can be collected, but of course it still needs to be refined," he said in an official statement, Sunday 17 July. accurate parameters that must be maintained and designing appropriate policies to achieve these parameters. “Government of palm oil is complex and involves many stakeholders. Various targets on the upstream and downstream sides must be balanced because there is a trade off between one target and another," continued Coordinating Minister Luhut. . He said that palm oil plays a major role in the Indonesian economy. In addition to being one of the largest contributors to exports and state revenues, the maintained price of Fresh Fruit Bunches (FFB) and affordable cooking oil helps maintain consumption levels. . We are trying to maintain the welfare of oil palm farmers and ensure fair business profits," explained Coordinating Minister Luhut. He added that the export allocation given was already high while the unused export allocation was more than 3 million tons.

“Not unlike other countries in the world, Indonesia is currently faced with tough economic challenges. The dynamics are happening so fast with very high uncertainty, including in the handling of palm oil and cooking oil,” he explained. Coordinating Minister Luhut then emphasized that although palm oil prices are influenced by international conditions, the government has policy instruments to influence outcomes both domestically and internationally. For that, according to him, every stakeholder needs to work in a comprehensive and integrated manner. “The palm oil industry in Indonesia is one of the strategic industries because more than 16.4 million people live and work in this industry, and it is the largest export producer. Therefore, improving current governance is an important step in optimizing the role of oil palm for improving people's welfare and national economic development," said Coordinating Minister Luhut. improvement of palm oil governance in the future. For this reason, the central government, local governments, industry, and the community must work together to continue to fix the various problems faced.