Indonesia palm oil export ban

Indonesia exports 30 million tons of vegetable oil a year, more than any other country, but tightening global supplies raised prices at home, leaving many ...

The war, combined with weather disruptions that limited harvests in other vegetable oil-producing regions, sent all cooking oil prices up, including palm oil. Countries like India, the world’s largest importer of edible oils, are bracing for a price shock, but so far palm oil prices are holding relatively steady following the announcement. She compared the move to limits on exports of masks and surgical gloves during the pandemic. In Indonesia, palm oil is used for cooking. Russia’s invasion of Ukraine set off a rise in vegetable oil prices around the world. Indonesia exports 30 million tons of vegetable oil a year, more than any other country, but tightening global supplies raised prices at home, leaving many Indonesians struggling to find and afford cooking oil.

Indonesia, the world's biggest producer of palm oil, announced it would ban exports of the commodity starting April 28 to address a domestic cooking oil ...

If you want to post a public comment, you can do that at the bottom of the page. “Palm oil companies have also proven to be bulldozing the lands of farmers, Indigenous peoples and locals, damaging local infrastructure.” He said oil palm farmers’ cooperatives also need to be strengthened so that smallholders can have a bigger say in determining prices that are currently dominated by big companies. These producers have businesses throughout the supply chain, from oil palm plantations to processing mills to cooking oil refineries. He noted that there are more than 4.7 million hectares (11.6 million acres) of corporate plantations — an area half the size of South Korea — that are operating outside their legally permitted concessions, including in forest areas. Instead, he said, it will cause an artificial shortage on the international market, further driving up global palm oil prices that Indonesian producers won’t be able to benefit from because of the export ban. The decision to force palm oil producers to now sell their product domestically, at lower prices than they could get overseas, has met with a mixed response. This would leave a supply glut of more than 30 million metric tons that can’t be exported. When supplies are available, prices have often been multiples of what the product would usually retail for. The export ban has also elicited some support, notable from the association of palm oil farmers, or SPKS, which calls it a necessary move to ensure the availability of affordable cooking oil in Indonesia. “Instead, [Indonesia] was protested by overseas potential buyers. JAKARTA — Indonesia, the world’s biggest producer of crude palm oil, has ordered a ban on the export of the commodity starting April 28 to address an ongoing shortage of cooking oil in the country.

JAKARTA: In a bid to curb the surging prices of cooking oil domestically, Indonesian President Joko Widodo announced on Apr 22 that there will be an export ...

PH&H has in the past advocated for the interests of palm oil producers. News of the export ban has sent these countries scrambling to find alternatives. “The step needs to be reconsidered. “We ask all stakeholders to monitor the impact of the policy. On Mar 17, the Indonesian government removed both price caps in a bid to incentivise the production of more cooking oil. “Refineries will be full and producers won’t know what to do with the excess supply. “We stand to lose billions of dollars each month. Domestically, there is no guarantee that the prices of cooking oil will be brought down, they said. On Jan 27, Indonesia tried to control its export output by mandating all producers to sell at least 30 per cent of its palm oil products domestically. “We support every decision the government makes. The government also introduced a price cap of 9,300 rupiah (US$0.64) per litre of crude palm oil sold in Indonesia and set the maximum retail price for palm oil-based cooking oil at 14,000 rupiah per litre. As for global impacts, consumers will need to be prepared for the prices of palm oil - used in anything from cooking oil to cosmetics - to spiral, even as manufacturers race to find alternatives.

Expert says every country will suffer as world's biggest palm oil producer bans exports of commodity used in food, cosmetics and cleaning products.

Palm oil is also used as biodiesel feedstock. Malaysia accounts for 31% of global palm oil supply, second after Indonesia’s 56%. It announced the export ban on 22 April, until further notice, in a move to tackle rising domestic prices.

Indonesia's agriculture ministry said on Monday that crude palm oil shipments would be excluded from a planned palm oil export ban, according to a copy of ...

CPO exports were 2.74 million tonnes in 2021, or 7.98% of the shipments. Register now for FREE unlimited access to Reuters.com Register now for FREE unlimited access to Reuters.com Register now for FREE unlimited access to Reuters.com

Palm oil slumped on prospects that top producer Indonesia's surprise ban of cooking oil exports will not be strict as feared.

Vegetable oil prices have already risen more than 50% in the past six months, as factors ranging from labor shortages in Malaysia to droughts in Argentina ...

Some 70% of its palm oil is sourced from refineries in Malaysia and Indonesia. It is used in its fabric and home care categories and beauty products. Prices also rose in Pakistan and Bangladesh. It announced the export ban, which will be in place until further notice, on Friday in a move to tackle rising domestic prices. “Refiners have been caught on the wrong foot. That will place extra strain on cost-sensitive consumers in Asia and Africa hit by higher fuel and food prices.

War in Ukraine, bad weather and now Indonesia's export ban will worsen a vegetable oil shortage that's straining budgets worldwide.

Meanwhile, output from Malaysia, another major palm oil producer, has plummeted amid a shortage of foreign labor. Indonesia supplies about half of the world’s palm oil, a major agricultural commodity used in consumer products ranging from cakes and cookies to shampoo and frying oil. Oil futures spiked on the news.

JAKARTA : Bank Indonesia's current account deficit forecast for 2022 remains on track to be about 0.9 per cent of GDP, despite the government's recently ...

Concerns about the impact of the ban on Indonesia's exports and current account had hit the rupiah earlier in the day, sending the currency down 0.7 per cent. Details about the palm oil export ban have not been officially released, but industry sources told Reuters it would include halting refined palm olein shipments but not crude palm oil, meaning the impact could be smaller than previously thought. JAKARTA : Bank Indonesia's current account deficit forecast for 2022 remains on track to be about 0.9 per cent of GDP, despite the government's recently announced export ban on cooking oil and its raw material, Governor Perry Warjiyo told Reuters on Monday.

Analysts say higher crude palm oil prices will further force domestic fast-moving consumer goods companies to raise prices at a time when their previous ...

For India, Indonesia is the source of 50 percent of its crude palm oil exports. The million-dollar question then is when will Indonesia lift the ban on palm oil exports? For policymakers in India, the surprise move by Indonesia to halt the export of crude palm oil from April 28 has dealt a body blow at a time when the price of everything—from wheat to crude oil—has been surging.

JAKARTA/MUMBAI : Indonesia's ban on palm oil exports is unlikely to last more than a month as Jakarta has limited infrastructure to store the surplus oil ...

"It's time for Indonesia to cut down use of palm oil for biodiesel and remove the ban. "The ban is a political decision to support consumers. Advertisement

Ban on palm oil exports adds to global food security fears amid poor harvests and the war in Ukraine.

“But the pressure of food inflation globally could reduce consumption in poor households in Indonesia, increasing poverty,” he said. Not to mention that this will disrupt previously agreed palm oil trading contracts.” “Many countries depend on palm oil supplies from Indonesia,” he said. “Since March, the price of crude palm oil has soared and the ban on palm oil exports by the Indonesian government will certainly exacerbate the increase in CPO prices on the global market,” Ega Kurnia Yazid, a research assistant at the the Centre for Strategic and International Studies in Jakarta, told Al Jazeera. “This increase will also likely be followed by an increase in the prices of substitute products like canola oil, olive oil and coconut oil.” “Indonesia is a leading producer of palm oil and its ban means that we have a supply shock on vegetable oil that will push prices higher, adding to food price pressure and hurting those most vulnerable in developed countries and those with a high food weight basket like India,” Trinh Nguyen, a senior economist for emerging Asia at Natixis in Hong Kong, told Al Jazeera. Ban on palm oil exports adds to global food security fears amid poor harvests and the war in Ukraine.

India is the world's biggest importer of vegetable oils and is particularly at risk from Indonesian policy changes.

Local prices of edible oils have surged as much as 17% in New Delhi since the war in Ukraine erupted late February. The company is one of the largest cooking oil and oilseed processors in India. World food prices are already at a record high and can ill afford another disruption to food supply after massive chaos sparked by the war in Ukraine.

Palm oil prices shot higher and the Indonesian rupiah lost ground on Monday after Jakarta levied a blanket ban on exports of palm oil in a bid to contain ...

Palm oil rebounded as traders assessed the severity of Indonesia's ban on cooking oil exports that sparked wild swings in the market.

Authorities will strictly monitor domestic supply of refined palm oil and crude palm oil. . Read more at straitstimes.com.

“It’s time for Indonesia to cut down use of palm oil for biodiesel and remove the ban. “The ban is a political decision to support consumers. Indonesia produces around 4 million tonnes of palm oil every month and consumes around 1.5 million tonnes.

JAKARTA: Indonesia is prepared to widen a palm oil export ban, which currently only applies to refined palm olein, if local shortages of derivative products ...

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Indonesia will start restricting exports of palm oil this week, a move that could make the global food crisis worse and push up the prices of hundreds of ...

According to its report, "war in the Black Sea region spread shocks through markets for staple grains and vegetable oils." The country had already taken other steps to protect local supplies. Ukraine is typically a major producer of sunflower oil, but that has been "completely messed up by Russia," said Fry. Colombia, Nigeria and Guatemala are also key producers. The ban takes effect on Thursday. Friday that the decision to ban exports was to "ensure the national availability of cooking oil" and help keep it affordable.

Indonesia's ban on palm oil exports is unlikely to last more than a month as Jakarta has limited infrastructure to store the surplus oil and the country ...

"It's time for Indonesia to cut down use of palm oil for biodiesel and remove the ban. "The ban is a political decision to support consumers. Since the ban only covers RBD palm olein, Musim Mas estimated it could last a few months. If they reduce it means there is an indication the tank will be full," Martono said. Register now for FREE unlimited access to Reuters.com Register now for FREE unlimited access to Reuters.com

Palm oil extended gains as traders prepare for the start of Indonesia's export halt after more clarity emerged on the scope of the ban.