Less CPO exports predicted this year<\/p>\n
JAKARTA (JP): Total crude palm oil (CPO) exports will be lower
\nthan projected this year, says the Ministry of Agriculture's
\nJoint Marketing Board, which markets the produce of state
\nplantation firms.<\/p>\n
One of the board's executives, who requested anonymity, said
\nyesterday that increased domestic demand and less output had
\nforced the board to cut its projected CPO exports from state-
\nowned firm's from 30 percent to about 26 percent of their output.<\/p>\n
Indonesia produces between 4.5 million and 4.6 million tons of
\nCPO a year. State-owned plantation companies produce about 1.8
\nmillion tons a year.<\/p>\n
At least nine of the 14 state-owned plantation firms, namely
\nPT Perkebunan Nusantara I to PT Perkebunan Nusantara XIV, have
\noil palm plantations which produce CPO.<\/p>\n
The board markets most state-owned plantation commodities,
\nexcept coffee and tea which the firms market.<\/p>\n
Based on the board's estimates, 720,000 tons or 40 percent of
\nthe 1.8 million tons of CPO produced by state firms this year
\nwere produced in the first half of 1996. The board expects the
\nfirms will produce 1.08 million tons in the second half of the
\nyear.<\/p>\n
The board estimates that from January to June this year,
\n504,000 tons of CPO (70 percent of the 720,000 tons produced in
\nthe period) were sold on the domestic market, while 216,000 tons
\n(30 percent) were exported.<\/p>\n
On average, 84,000 tons a month were sold domestically and
\n36,000 tons were exported.<\/p>\n
The board projects that in the second half of 1996, 756,000
\ntons of CPO (70 percent of projected output) will be sold
\ndomestically and 324,000 tons (30 percent) will be exported.<\/p>\n
About 126,000 tons are expected to be sold domestically each
\nmonth and 54,000 tons are expected to be exported.<\/p>\n
\"Observing the recent trend, though, it seems that only 26
\npercent of the CPO can be exported, instead of the planned 30
\npercent,\" the executive told The Jakarta Post yesterday.<\/p>\n
If so, less than 54,000 tons would be exported each month.<\/p>\n
He acknowledged the drop was not only caused by rising
\ndomestic demand, but by bad weather which had cut the state
\nplantations' output by between 5 percent and 20 percent.<\/p>\n
The executive said the Joint Marketing Board had planned to
\nexport two shipments in September, under a contract signed in
\nJune: \"Prices were favorable in June, so we decided to ship
\n100,000 tons in September.\"<\/p>\n
But because the board cannot export more than 54,000 tons a
\nmonth, one of the shipments was delayed until October. (pwn)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/less-cpo-exports-predicted-this-year-1447893297",
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