BPS Calls Europe To India Influences Decreased CPO Exports

Acting Head of BPS Amalia Adininggar Widyasanti. (Photo: Doc. Kemenpan RB)

JAKARTA - The Central Statistics Agency (BPS) said the decline in the export performance of Indonesian palm oil (CPO) in February 2024 was due to a decrease in the volume of demand from partner countries such as China, India and Europe.

Acting Head of BPS Amalia Adininggar Widyasanti said that the export of CPO and its derivative products in February 2024 was recorded at 1.20 billion US dollars or a decrease of 30.39 percent on a monthly basis compared to January 2024 of 1.72 billion US dollars.

"One of the reasons for the decline in the value of CPO exports is the decline in demand from partner countries," Amalia said as quoted by ANTARA, Friday, March 15.

Amalia said, in terms of volume, CPO exports in February 2024 were only 1.42 million tons, while in the previous month it reached 2.06 million tons. Furthermore, in February 2023 it was recorded at 2.10 million tons.

In terms of prices, in February 2024 there were 847.58 US dollars per ton. This value increased compared to January 2024, which was only 835.43 US dollars per ton.

Amalia said the decline in CPO export performance was influenced by the opening of new trade lines through the Black Sea Grain Initiatives or the Black Sea Grains Agreement signed by Russia. This line makes the prices of sunflower oil and other grains in the European region cheaper.

"The opening of the new trade route, several European countries can provide or supply exports from sunflower oil and other seeds that can be exported at low prices," said Amalia.

BPS also noted that the CPO stock owned by China and India is also referred to as a factor in the decline in the export performance of palm oil amid high CPO prices at the global level.

"China and India have relatively high stock of CPO. This also causes the demand for imports from CPO to be relatively lower than before," he said.