JAKARTA – Indonesia has long become the world’s largest exporter of crude palm oil (CPO). The country can get foreign exchange from the export at hundreds of billions US dollar per year.

But the Indonesian Palm Oil Council (DMSI) Chairman Sahat Sinaga said that the state income can be still multiplied if Indonesia produces the Degummed Palm Mesocarp Oil (DPMO). The DPMO can be processed from Palm Mesocarp Oil (PMO), by removing protein and heavy metals from the processed palm oil.

He said the development of DPMO can also stand as a rebranding of Indonesian palm oil, so the country will not only produce the CPO.

“We can do upgrading among smallholders. I don’t want the CPO anymore. I want the DPMO,” Sahat said during a special dialogue on “strategy to increase competitiveness of Indonesian palm oil through downstreaming” in Jakarta on Thursday (6/6/2024).

According to Sahat, the rebranding of CPO into DPMO will push development of palm oil with higher value, which can be applied to various functional products through innovative process. “The innovation can maintain the high level of natural micronutrients in palm oil and low carbon emission,” said Sahat.

He said that in developing DPMO, there is a new technology to reduce the free fatty acid (FFA) of palm oil. The technology applies the proces of re-esterification.

According to him, the DPMO production can be implemented by smallholders at small scale level. “The objectives of the innovative technology to be used are low carbon emission, high nutritional value (Phytonutrients), stable for oxidation and investments relatively affordable for smallholders (grouped in cooperatives),” he said.

“We hope the smallholders will be free from the haunting protectionism of the other global producers of vegetable oils, if they have and operate their own palm oil mills to produce the DPMO,” said Sahat.

He said that the innovation will not only change the global view on Indonesian palm oil products, but it will also open new market opportunities , which are more expansive and sustainable. (*)

Source: sawitkita.id