Palm Oil Industry Should Be Reorganized to Support Farmers
The Indonesian Palm Oil Farmers Association ask the President to review the export ban on palm cooking oil products and their raw materials because it has a direct impact on FFB prices.
JAKARTA, KOMPAS — The palm oil industry in Indonesia needs to be addressed so that farmers will not become victims when there is a disruption in the palm oil supply chain. At present, oil palm farmers are still too reliant on big palm oil companies and they don’t have the power to determine the price of oil palm fresh fruit bunches, which can easily fall if there is a fluctuation in the price of their derivative products.
This is one of the demands made by an Indonesian oil palm farmer organization during a protest at the Office of the Coordinating Economic Affairs Minister in Jakarta on Tuesday (17/5/2022). The protest was triggered by the drop in the price of oil palm fresh fruit bunches (FFB) at the farmer level following the government’s announcement to ban exports of cooking oil and its raw materials.