{
    "success": true,
    "data": {
        "id": 1827344,
        "msgid": "gapki-urges-law-enforcement-in-palm-oil-export-oversight-1782557599",
        "date": "2026-06-27 16:27:27",
        "title": "Gapki Urges Law Enforcement in Palm Oil Export Oversight",
        "author": "",
        "source": "TEMPO_ID_BISNIS",
        "tags": "",
        "topic": "Trade",
        "summary": "The Indonesian Palm Oil Association (Gapki) has called for stronger law enforcement against export violations like under invoicing, despite existing multi-layered oversight mechanisms. The push follows the issuance of Government Regulation No. 24\/2026 and the establishment of PT Danantara Sumberdaya Indonesia as a single intermediary for strategic commodity exports. Gapki also cautioned against conflating legitimate transfer pricing with illegal mispricing, noting the complexity of determining fair value for palm oil products.",
        "content": "<p>The Indonesian Palm Oil Association (Gapki) considers the existing\noversight mechanism for palm oil exports to be very strict, but believes\nit needs to be reinforced with stronger law enforcement against\nviolators, such as those engaging in under invoicing, which disrupts\nstate revenue contributions. \u201cWhat needs to be done is law enforcement.\nThe oversight mechanism is already in place, and Gapki always encourages\nall members to comply with tax regulations,\u201d said Yustinus Lambang Setyo\nPutro, Head of Taxation and Fiscal Affairs at Gapki, in a statement in\nJakarta on Saturday, 27 June 2026. He noted that under invoicing came\nunder scrutiny after the government issued Government Regulation Number\n24 of 2026 concerning the Export Governance of Strategic Natural\nResource Commodities. Furthermore, the government established PT\nDanantara Sumberdaya Indonesia (DSI) as a state-owned enterprise acting\nas the sole intermediary for the export of three strategic\ncommodities\u2014palm oil, coal, and ferro alloy\u2014to enhance transparency and\nclose loopholes for under invoicing practices. Yustinus explained that\nexport oversight is conducted in multiple layers, starting from the\nlicensing process through the Indonesia National Single Window (INSW),\nthe CEISA system of the Directorate General of Customs and Excise,\nphysical inspection of goods, monitoring of export proceeds by Bank\nIndonesia, to tax audits on the fairness of transaction values.\nAdditionally, Yustinus cautioned against equating transfer pricing\ndirectly with under invoicing. According to him, transfer pricing is a\ncommon business practice in transactions between affiliated companies.\n\u201cA violation only occurs if there is mispricing, namely the manipulation\nof price, volume, or type of goods to obtain undue profits,\u201d he said.\nYustinus explained that assessing under invoicing cannot be done merely\nby comparing selling prices. For palm oil commodities, for instance,\nIndonesia does not yet have a single national reference price fully\naccepted by all business actors. The government\u2019s reference price itself\nis a combination of various international sources, including from the\nNetherlands and Malaysia. Moreover, export prices are influenced by many\ncommercial factors, such as the type of product (CPO, kernel, or\nderivative products), quality and certifications like ISPO or RSPO, the\ndelivery location affecting logistics costs, transaction timing, and the\ntype of contract used. Nevertheless, Yustinus stressed that companies\nproven to have sold far below a reasonable price without a justifiable\ncommercial basis can still be categorised as engaging in under\ninvoicing. \u201cGapki always encourages all its members to comply with every\napplicable tax and trade regulation. If any are indeed proven to have\ncommitted violations, they must certainly be processed according to the\nprevailing law,\u201d he said.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/gapki-urges-law-enforcement-in-palm-oil-export-oversight-1782557599",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}