CPO reference prices lowered by up to 40%<\/p>\n
JAKARTA (JP): The government cut the reference prices used to
\ncalculate the payment of export taxes on crude palm oil (CPO) and
\nits byproducts by between 20 percent and 40 percent.<\/p>\n
The director general of international trade at the Ministry of
\nIndustry and Trade, Djoko Moeljono, said reference prices were
\ncut because the international price of CPO and its byproducts had
\nfallen and the rupiah had strengthened against the U.S. dollar.
\nHe added that the cuts became effective on July 18.<\/p>\n
\"The reference prices were cut to allow farmers to earn more
\nfrom the sale of their oil palm kernel,\" he said, adding that the
\nprice of oil palm kernel had dropped to Rp 300 per kilogram from
\nRp 550 per kilogram in late April.<\/p>\n
The price of CPO on the international market is currently
\nUS$327 per metric ton from $469 per metric ton in late April.<\/p>\n
The new reference price of CPO was set at $260 per metric ton
\nIt was previously $365 per metric ton. The new reference price of
\noil palm kernel is $55 per ton, refined bleached deodorized (RBD)
\npalm oil is $270 per ton, crude palm olein is $210 per ton and
\nRBD palm olein is $230 per ton.<\/p>\n
The base price of RBD palm olein in up to five-kilogram
\npackages was set at $250 per ton, while the reference price for
\ncrude palm stearin was established at $130 per ton. The new
\nreference price for RBD palm stearin is $140 per ton, crude palm
\nkernel oil is $385 per ton and RBD palm kernel oil is $415 per
\nton.<\/p>\n
The new reference prices will be effective from June 18 to
\nJuly 20.<\/p>\n
Djoko said with a current export tax of 30 percent and the old
\nreference prices, CPO exporters would have suffered a loss of Rp
\n52 for each kilogram of CPO they exported.<\/p>\n
\"With new base prices, exporters will earn a profit on their
\nCPO exports,\" he said.<\/p>\n
The export tax on CPO and its byproducts was lowered to a
\nmaximum 30 percent earlier this month. The export tax had been at
\n40 percent since February.<\/p>\n
Djoko said the government would continue watching CPO prices
\non the local and international markets and make further
\nadjustments to reference prices.<\/p>\n
\"If CPO prices continue to decline in the coming weeks, we
\nwill lower reference prices even further,\" he said. (gis)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/cpo-reference-prices-lowered-by-up-to-40-1447893297",
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"sponsor": "Okusi Associates",
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