Regarding The Boycott Of The Subsidized Bulk Cooking Oil Program By Entrepreneurs, GIMNI: That's Not True!

Illustration. (Photo: Doc. Antara)

JAKARTA - The threat of a boycott of bulk cooking oil came from palm oil entrepreneurs, following the determination of the suspect in the alleged corruption case in the provision of export facilities for crude palm oil (CPO) and its derivatives by the Attorney General's Office.

In response to this, the Indonesian Vegetable Oil Industry Association (GIMNI) clarified the news regarding the issue. GIMNI Executive Director, Sahat Sinaga emphasized that he had never made threats or plans to boycott the distribution of subsidized bulk cooking oil.

"We have absolutely no intention or plan to boycott the government's subsidized bulk cooking oil program. It is unfortunate that a number of media provide inaccurate information regarding GIMNI's stance," he said in a written statement received by VOI, Thursday, April 21.

According to Sahat, he did convey that there was unrest from members of the GIMNI cooking oil company after the appointment of four suspects by the Indonesian Attorney General's Office.

Sahat said that several cooking oil industries, members of GIMNI, called and expressed their fear of joining the subsidized Bulk Migor Program and said they wanted to quit.

"Producers are afraid to join the subsidized bulk migration program after this legal problem," said Sahat.

However, according to Sahat, he suggested that the 36 companies that are members of GIMNI should continue the program and not back down. Because their data has been recorded in the SIINAS (National Industrial Information System) and SIMIRAH (Bulk Cooking Oil Information System) of the Ministry of Industry.

"I ask them not to be afraid, as long as it goes according to government regulations and rules. If they don't participate, we can be branded as running a boycott of this subsidized bulk migration program. In addition, cooking oil producers participate in carrying out public service tasks to the community in order to meet food needs. ," he explained.

Sahat also conveyed that during this fasting month and Eid, the Migor Industry should not be disturbed by outside party activities that are not directly related to the production flow so that it can focus on working to meet the government's assignment target.

With regard to cases handled by the Attorney General's Office, said Sahat, GIMNI still fully submits legal issues that befall its members to the Attorney General's Office and with the applicable legal rules.

"GIMNI will cooperate and give full attention to this case," he said.

Minister of Industry reminds sanctions for companies that leave

Minister of Industry Agus Gumiwang Kartasasmita asked all parties to remain calm and carry out the subsidized bulk cooking oil program properly. This follows an issue that cooking oil companies will boycott the program after three businessmen became suspects in the CPO export case.

He emphasized that the case related to the export of palm cooking oil which is being handled by the Attorney General's Office is a law enforcement process and is not related to the program to provide subsidized Bulk Cooking Oil to the public.

"We open intensive communication with industry players to find the best solution in distributing Subsidized Bulk Cooking Oil for the community," he said.

Agus also reminded that the program runs in accordance with the Regulation of the Minister of Industry (Permenperin) Number 8 of 2022 concerning the Provision of Bulk Cooking Oil for the Needs of the Community, Micro Enterprises, and Small Businesses in the Financing Framework by the Palm Oil Plantation Fund Management Agency (BPDPKS).

This means that producers who have received assignments according to their respective registration numbers are required to distribute Subsidized Bulk Cooking Oil in accordance with the provisions.

"For companies that have not realized the distribution of Subsidized Bulk Cooking Oil or the realization is still below the target set, the Ministry of Industry will impose sanctions in the form of written warnings, fines, and freezing of business permits," he said.

"This sanction also applies if there are industrial companies that withdraw from this program," he continued.

In addition, Agus said, sanctions are also imposed on producer companies, distributors and retailers who violate the provisions, namely distributing Subsidized Bulk Cooking Oil for repackers, medium and large industries, and exports.

For your information, the Attorney General's Office has named four suspects in the alleged corruption case in granting export facilities for crude palm oil (CPO) and its derivative products. The four suspects were immediately detained for the next 20 days.

Of the four people named as suspects, one of them is a subordinate of the Minister of Trade Muhammad Lutfi, the Director General (Dirjen) of Foreign Trade (Daglu) of the Ministry of Trade with the initials IWW (Indrashari Wisnu Wardhana).

Meanwhile, the other three suspects are from the private sector. They are the Senior Manager of Corporate affairs of Permata Hijau Group with the initials SMA (Stanley MA); The President Commissioner of PT Wilmar Nabati Indonesia with the initials MPT (Master Parulian Tumanggor); and the General Manager of PT Musim Mas with the initials PT (Pierre Togar).