Firm! Coordinating Minister Airlangga Promises To 'Brush' Entrepreneurs Who Still Export CPO

Coordinating Minister for the Economy Airlangga Hartarto (Photo: Doc. Coordinating Ministry for the Economy)

JAKARTA - Coordinating Minister for the Economy Airlangga Hartarto said that the government would impose strict sanctions on parties caught exporting CPO and its derivative products, including cooking oil, amid the current ban.

According to Airlangga, this effort is aimed at prioritizing the community in order to achieve a bulk cooking oil price of Rp. 14,000 per liter in all parts of Indonesia.

“This temporary export ban on cooking oil is the government's commitment to prioritize the community. Therefore, any violation that occurs will be dealt with firmly for anyone who violates the decision," he said in an official statement quoted on Thursday, April 28.

Airlangga added, in accordance with the President's directive, the detailed export ban policy applies to all CPO, RPO, POME, RBD palm olein and used cooking oil products until the price of bulk cooking oil is reached at Rp. 14,000 per liter in the national market.

"Our benchmark is that the price of bulk cooking oil should be IDR 14,000 per liter, especially in traditional markets," he said.

Furthermore, Airlangga revealed that the legal basis for eliminating CPO exports is regulated by a Regulation of the Minister of Trade and is in accordance with the provisions of the WTO (World Trade Organization) regarding restrictions for shortages of essential foodstuffs.

“Evaluations will be carried out continuously on this export ban policy. Every violation will be dealt with in accordance with the provisions of the legislation," he stressed.

Meanwhile, the policy of eliminating foreign trade for CPO commodities is effective today, April 28, 2022 at 00.00 WIB. The government has also assigned BULOG to distribute bulk cooking oil to the public, especially in traditional markets in order to achieve the set targets.