{"id":22966,"date":"2023-04-11T15:41:54","date_gmt":"2023-04-11T08:41:54","guid":{"rendered":"https:\/\/gapki.id\/en\/?p=22966"},"modified":"2023-04-11T15:41:54","modified_gmt":"2023-04-11T08:41:54","slug":"govt-urged-to-take-pro-palm-oil-steps-amid-recession-and-barriers","status":"publish","type":"post","link":"https:\/\/gapki.id\/en\/news\/2023\/04\/11\/govt-urged-to-take-pro-palm-oil-steps-amid-recession-and-barriers\/","title":{"rendered":"Govt Urged To Take Pro-Palm Oil Steps Amid Recession and Barriers"},"content":{"rendered":"<p>JAKARTA \u2013 Indonesian palm oil industry is facing a tough challenge in the international and national markets due to global economic recession that will affect the economic condition of Indonesian people and the global society. The industry hopes the government will create supportive policies to generate its growth and to anticipate the impacts of trade barriers in the countries of export destinations.<!--more--><\/p>\n<p><a href=\"https:\/\/i0.wp.com\/gapki.id\/en\/allies-en\/uploads\/2023\/03\/palmoil_brondolan_sawit_nasionalisme.co_.png?ssl=1\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-22775\" src=\"https:\/\/i0.wp.com\/gapki.id\/en\/allies-en\/uploads\/2023\/03\/palmoil_brondolan_sawit_nasionalisme.co_.png?resize=973%2C598&#038;ssl=1\" alt=\"\" width=\"973\" height=\"598\" data-id=\"22775\" \/><\/a><\/p>\n<p>The challenge was revealed by the forum of agriculture journalists (Forwatan), the association of Indonesian biofuel producers (APROBI), the association of Indonesian oleo-chemical producers (APOLIN), and the association of Indonesian vegetable oil industries (GIMNI) during an <em>iftar<\/em> (break-the-fast) ceremony in Jakarta on Monday, 27 March 2023.<\/p>\n<p>The three associations reminded the fact that the palm oil industry is still dealing with the trade barriers at global market. Currently, Indonesia is waiting for a legal decision on a lawsuit against the European Union\u2019s (EU) RED II filed to the World Trade Organization (WTO). The legal case is still probed by the WTO\u2019s Dispute Settlement Body under the registration code of WT\/DS 593. The legal process is hindered by a number of issues, which include the unavailability of arbitrators at its appellate body as a result of US blockade against the appointments of arbitrators since 2017.<\/p>\n<p>Sahat Sinaga, Executive Director of GIMNI, said that the global market during the first quarter this year saw a declining trend of production of 17 vegetable oils at 2% to around 58 million tons, from the initial target of 61 million tons. \u201cAt domestic market, the price of palm oil so far this year averaged at lower level than the average of over US$ 1000\/ton last year,\u201d he said.<\/p>\n<p>\u201cCurrently, the palm oil export drops due to the global recession. As a result, it\u2019ll be hard to meet the target of domestic market obligation (DMO). The export decrease was started since the end of 2022 when the rights of exports at 6.1 million tons are not fully realized. Another impact was the supply shortage of \u201cminyakita\u201d cooking oil as it is subsidized from the fund derived from palm oil exports,\u201d he said.<\/p>\n<p>Sahat said that the DMO policy is no longer effective in securing the supply of cooking oil. \u201cThe government should focus on helping the people of low income at around 33 million people across the country with their cooking oil need at around 42 million kiloliters,\u201d he said.<\/p>\n<p>He proposed that the government postpone the export levy of palm oil to maintain the competitiveness of Indonesian palm oil at global market. \u201cIf the government continues applying the export levy, then the exports will drop and domestic market will see an oversupply of palm oil. Price is lower this year than that of last year. The global market is also weakening. So, the exports need incentives to push up competitiveness at global market,\u201d said Sahat.<\/p>\n<p>APOLIN Chairman Rapolo Hutabarat expressed his appreciation to the Indonesian government in dealing with the impacts of the outbreak of Covid-19 pandemic. \u201cIndonesia is very lucky in having domestic production of oleo-chemical which is very beneficial during the pandemic for the production of disinfectant, detergent and health products,\u201d he said.<\/p>\n<p>According to him, Indonesia has become the world\u2019s largest producer of oleo-chemical products. \u201cCurrently, Indonesia\u2019s production capacity of oleochemical reached 11.38 million tons, which is higher than that of Malaysia at 2.5 \u2013 3.0 million tons. It\u2019s mostly exported to India, China and EU,\u201d Rapolo said, adding that the oleochemical positive performance is also due to the government\u2019s policy to incentivize it with cheap gas, at US$6 per mmbtu, until 2024.<\/p>\n<p>But he noted that in EU the oleo-chemical product has been slapped with anti dumping duties at 15%-46% since December 2022. \u201cAs a result APOLIN member companies find it hard to enter the EU market,\u201d he said.<\/p>\n<p>Paulus Tjakrawan, the chairman of APROBI said that the biodiesel mandatory program has been upgraded to 35% this year. \u201cIn 2023, the target of biodiesel use at domestic market will reach 13.15 million kiloliters. It can reduce the import of diesel fuel up to the total value of Rp140 trillion.\u201d<\/p>\n<p>\u201cWe hope it will be further increased during the next few years. It is part of the national target of zero emission in 2060. That\u2019s why we need to push up the other bioenergy programs to produce palm oil-based bioavtur, bioethanol, and bio-gasoline,\u201d he said.\u00a0(*)<\/p>\n<p>Source: <em>KONTAN.CO.ID\/WartaEkonomi\/Investor.id<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>JAKARTA \u2013 Indonesian palm oil industry is facing a tough challenge in the international and national markets due to global economic recession that will affect the economic condition of Indonesian people and the global society. The industry hopes the government will create supportive policies to generate its growth and to anticipate the impacts of trade&hellip;&nbsp;<a href=\"https:\/\/gapki.id\/en\/news\/2023\/04\/11\/govt-urged-to-take-pro-palm-oil-steps-amid-recession-and-barriers\/\" class=\"\" rel=\"bookmark\"><span class=\"screen-reader-text\">Govt Urged To Take Pro-Palm Oil Steps Amid Recession and Barriers<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":22775,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"neve_meta_sidebar":"","neve_meta_container":"","neve_meta_enable_content_width":"","neve_meta_content_width":0,"neve_meta_title_alignment":"","neve_meta_author_avatar":"","neve_post_elements_order":"","neve_meta_disable_header":"","neve_meta_disable_footer":"","neve_meta_disable_title":"","neve_meta_reading_time":"","_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[3708,3709],"tags":[],"class_list":["post-22966","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-publication","category-recent-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.2 - 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The relaxation of social activities has been driving global economic recovery,\u2026","rel":"","context":"In &quot;Info &amp; Activity&quot;","block_context":{"text":"Info &amp; Activity","link":"https:\/\/gapki.id\/en\/news\/category\/info-activity\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2023\/10\/monasurya_gapki.jpg?fit=1154%2C651&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2023\/10\/monasurya_gapki.jpg?fit=1154%2C651&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2023\/10\/monasurya_gapki.jpg?fit=1154%2C651&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2023\/10\/monasurya_gapki.jpg?fit=1154%2C651&ssl=1&resize=700%2C400 2x, https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2023\/10\/monasurya_gapki.jpg?fit=1154%2C651&ssl=1&resize=1050%2C600 3x"},"classes":[]},{"id":31129,"url":"https:\/\/gapki.id\/en\/news\/2026\/03\/04\/gapki-urges-govt-to-boost-palm-diplomacy-amid-rising-barriers\/","url_meta":{"origin":22966,"position":1},"title":"GAPKI Urges Govt To Boost Palm Diplomacy Amid Rising Barriers","author":"admin","date":"March 4, 2026","format":false,"excerpt":"JAKARTA -\u00a0Indonesia\u2019s palm oil industries have been recently facing mounting pressures at the global market. The Indonesian Palm Oil Association (GAPKI) urged the government to strengthen palm oil trade diplomacy to resolve the trade problems caused by rising tariff and non-tariff barriers imposed by a number of countries. Increasing trade\u2026","rel":"","context":"In &quot;Info &amp; Activity&quot;","block_context":{"text":"Info &amp; Activity","link":"https:\/\/gapki.id\/en\/news\/category\/info-activity\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2026\/03\/ilustrasi_gambar_perkuat_diplomasi_gapki.id__.jpg?fit=956%2C622&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2026\/03\/ilustrasi_gambar_perkuat_diplomasi_gapki.id__.jpg?fit=956%2C622&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2026\/03\/ilustrasi_gambar_perkuat_diplomasi_gapki.id__.jpg?fit=956%2C622&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2026\/03\/ilustrasi_gambar_perkuat_diplomasi_gapki.id__.jpg?fit=956%2C622&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":30778,"url":"https:\/\/gapki.id\/en\/news\/2025\/12\/02\/gapki-strengthens-global-partnerships-amid-rising-challenges\/","url_meta":{"origin":22966,"position":2},"title":"GAPKI Strengthens Global Partnerships Amid Rising Challenges","author":"admin","date":"December 2, 2025","format":false,"excerpt":"JAKARTA \u2013 The Indonesian Palm Oil Association (GAPKI) has concluded a week-long mission to USA and Europe with the signing of six memorandums of understanding (MoU) with partner organizations in the two continents. The mission has become a part of positive campaigns that have been continuosly conducted to support the\u2026","rel":"","context":"In &quot;Info &amp; Activity&quot;","block_context":{"text":"Info &amp; Activity","link":"https:\/\/gapki.id\/en\/news\/category\/info-activity\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2025\/12\/gapki_perkuat_kemitraan_global_.jpg?fit=976%2C627&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2025\/12\/gapki_perkuat_kemitraan_global_.jpg?fit=976%2C627&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2025\/12\/gapki_perkuat_kemitraan_global_.jpg?fit=976%2C627&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2025\/12\/gapki_perkuat_kemitraan_global_.jpg?fit=976%2C627&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":19537,"url":"https:\/\/gapki.id\/en\/news\/2020\/12\/03\/economy-agribusiness-sector-becomes-savior-during-crisis\/","url_meta":{"origin":22966,"position":3},"title":"Economy: Agribusiness Sector Becomes Savior During Crisis","author":"admin","date":"December 3, 2020","format":false,"excerpt":"Press Release Indonesian Palm Oil Association (IPOA) IPOC 2020 NEW NORMAL Economy: Agribusiness sector becomes savior during crisis JAKARTA \u2013 The Indonesian economy will still be haunted by uncertainty next year. But the government policy that only applies partial restriction has saved the economy from recession threat. Based on data\u2026","rel":"","context":"In &quot;Info &amp; Activity&quot;","block_context":{"text":"Info &amp; Activity","link":"https:\/\/gapki.id\/en\/news\/category\/info-activity\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2021\/07\/cpo_smallholder_asianagri.com_.jpg?fit=971%2C534&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2021\/07\/cpo_smallholder_asianagri.com_.jpg?fit=971%2C534&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2021\/07\/cpo_smallholder_asianagri.com_.jpg?fit=971%2C534&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2021\/07\/cpo_smallholder_asianagri.com_.jpg?fit=971%2C534&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":26308,"url":"https:\/\/gapki.id\/en\/news\/2023\/05\/12\/ri-eu-delegations-discuss-palm-oil-many-unaware-of-real-facts\/","url_meta":{"origin":22966,"position":4},"title":"RI-EU Delegations Discuss Palm Oil, Many Unaware Of Real Facts","author":"admin","date":"May 12, 2023","format":false,"excerpt":"JAKARTA \u2013 Indonesia has taken advantage of its position as official partner country in the world\u2019s largest industrial technology exhibition, Hannover Messe 2023 in Germany, to discuss about the palm oil problems and opportunities with stakeholders in European Union (EU). The Indonesia - EU discussion forum for sustainable palm oil\u2026","rel":"","context":"In &quot;Publication&quot;","block_context":{"text":"Publication","link":"https:\/\/gapki.id\/en\/news\/category\/publication\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/gapki.id\/en\/allies-en\/uploads\/2023\/02\/palmoil_big_role.png?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/gapki.id\/en\/allies-en\/uploads\/2023\/02\/palmoil_big_role.png?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/gapki.id\/en\/allies-en\/uploads\/2023\/02\/palmoil_big_role.png?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/gapki.id\/en\/allies-en\/uploads\/2023\/02\/palmoil_big_role.png?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":26037,"url":"https:\/\/gapki.id\/en\/news\/2021\/03\/29\/indonesian-palm-oil-industry-complies-with-labor-regulations\/","url_meta":{"origin":22966,"position":5},"title":"Indonesian Palm Oil Industry Complies with Labor Regulations","author":"admin","date":"March 29, 2021","format":false,"excerpt":"JAKARTA -- The Indonesian Palm Oil Association (Gapki) has ensured that the national palm oil industry has complied with all employment regulations, which include the prohibition of never exploiting female workers. Gapki has even secured a partnership with the International Labor Organization (ILO) and CNV International during the last three\u2026","rel":"","context":"In &quot;Info &amp; Activity&quot;","block_context":{"text":"Info &amp; Activity","link":"https:\/\/gapki.id\/en\/news\/category\/info-activity\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2021\/03\/panduan_praktis_joko_s.jpg?fit=1148%2C558&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2021\/03\/panduan_praktis_joko_s.jpg?fit=1148%2C558&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2021\/03\/panduan_praktis_joko_s.jpg?fit=1148%2C558&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2021\/03\/panduan_praktis_joko_s.jpg?fit=1148%2C558&ssl=1&resize=700%2C400 2x, https:\/\/i0.wp.com\/gapki.id\/en\/dir-site\/uploads\/2021\/03\/panduan_praktis_joko_s.jpg?fit=1148%2C558&ssl=1&resize=1050%2C600 3x"},"classes":[]}],"jetpack_sharing_enabled":true,"jetpack_likes_enabled":true,"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/gapki.id\/en\/wp-json\/wp\/v2\/posts\/22966","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/gapki.id\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/gapki.id\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/gapki.id\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/gapki.id\/en\/wp-json\/wp\/v2\/comments?post=22966"}],"version-history":[{"count":0,"href":"https:\/\/gapki.id\/en\/wp-json\/wp\/v2\/posts\/22966\/revisions"}],"wp:attachment":[{"href":"https:\/\/gapki.id\/en\/wp-json\/wp\/v2\/media?parent=22966"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/gapki.id\/en\/wp-json\/wp\/v2\/categories?post=22966"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/gapki.id\/en\/wp-json\/wp\/v2\/tags?post=22966"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}