Erick Thohir Says Indonesia Will Experience Three Pressures In 2022, One Of Them In Palm Oil That Makes Mothers Shout Because Of Expensive Cooking Oil

Minister of SOEs, Erick Thohir. (Mary Handayani/VOI)

JAKARTA - Minister of State-Owned Enterprises (BUMN) Erick Thohir said the global market was facing significant pressure in early 2022, including Indonesia. At least, said Erick, Indonesia is facing three pressures. One of them is the stability of the supply chain which is becoming uncertain.

Erick said that these conditions made commodity prices expensive, such as food prices.

"For example, in palm oil, we benefit from the high price, but of course the mothers are very upset. This is what happened," said Erick at the inauguration of the BUMN Food Holding, Wednesday, January 12.

Then, said Erick, apart from the price of oil, the main ingredient needed by farmers, namely fertilizer, also experienced a significant price increase.

"It's the same with fertilizers, talking about fertilizers for raw materials is good, up to three times. This means that there will be pressure in 2022. That's what's happening now," he said.

The second pressure is digital disruption and innovation. Therefore, according to Erick, digitalization and innovation are very important. This is because Indonesia is very far behind its neighboring countries in this regard.

"Some neighboring countries have several superior products, based on research and technology. We are still trapped in supply-demand. And neighboring countries already have superior products," he said.

Lastly is the pressure from the health sector. Erick said that the COVID-19 pandemic was still a special pressure for Indonesia.

"The third is of course the health pressure that continues to haunt us all, humans can also be affected," said Erick.