Businesspeople Are Confident B20 Policy Will Raise Global CPO Price

THE Indonesian Palm Oil Association (Gapki) has the same opinion with President Joko Widodo that the expanded B20 mandatory program will raise global Crude Palm Oil (CPO) price. The policy will also answer the domestic absorption problem as weel as become a solution for the sluggish global market condition. In 2018, national palm oil production is projected to reach 42 million tons and 30 million tons of them will be exported. “We agree with President Joko Widodo that expanded B20 mandatory program will raise domestic palm oil absorption,” Chairman of Gapki Joko Supriyono said in the Press Release (31/10/2018). During Monday`s opening of the International Palm Oil Conference (IPOC) 2018 and 2019 Price Outlook in Nusa Dua, Bali, the President urged that all stakeholders in palm oil industry need to do at least five steps in attempt to achieve Sustainable Development Goals (SDGs). One of them is to implement expanded B20 mandatory program. He said that the policy was intended to absorb the commodity amid its weakening global price. Joko Supriyono said the successful implementation of the B20 policy would also significantly reduce oil imports and save a large amount of foreign exchange, which the country badly needed to narrow the current account deficit. `It will help government to reduce trade balance deficit as well as to reduce the effect of currency fluctuation.” ***