JAKARTA (RambuEnergy.com) – The Trade Ministry has set crude palm oil (CPO) reference price at US$595.98 per ton, 5.41% higher than in previous month of US$565.40 per ton.
Based on the existing Finance Ministry ruling, the government impose exports levy of US$25 per ton should the CPO price moves above US$570 per ton.
However, the Finance Ministry decided not to impose the export levy for March and will reconsider it again in the next month. The export levy for CPO in March, therefore, is set at US$0 per ton.
The above reference price is calculated based on the average price of CPO in the period of Jan. 20 until Feb. 29, 2019.
The decision makes since given the fact that the global CPO price has declined again in the past few days to around US$545 per ton.
In 2018, Indonesia produced 34.81 million tons of CPO, up from 32.18 million tons in previous year. (*)