West Pasaman Regency Conducts Surprise Inspection of Palm Oil Mills Over TBS Prices

Simpang Empat — The West Pasaman Regency Government, alongside the Regional Leadership Coordination Forum (Forkopimda), conducted surprise inspections at several palm oil mills to remind companies not to unilaterally reduce the price of fresh fruit bunches (TBS).

“Today, we visited two palm oil mills: PT Agro Wira Ligatsa (AWL) and PT Berkat Sawit Sejahtera (BSS). We reminded them not to lower TBS prices unilaterally,” stated Regent Yulianto in Simpang Empat on Monday.

He emphasised that palm oil mills must adhere to the official prices set by the West Sumatra Provincial team weekly and the partial prices in accordance with Minister of Agriculture Regulation No. 13 of 2024.

The regent, together with Forkopimda, Regional Secretary Doddy San Ismail, and several heads of government agencies, conducted the site visits as part of government monitoring, evaluation, and oversight of palm oil mills’ TBS pricing.

“I urge all companies to comply with established regulations. There is no justification for TBS prices to drop significantly below government-set rates,” he added.

He stressed that palm oil companies are prohibited from manipulating prices, unilaterally reducing TBS prices contrary to regulations, or using speculation or claims of new regulatory adjustments as excuses.

He explained that TBS purchase prices must reflect the actual market prices of crude palm oil (CPO) and its derivatives.