Chinese Companies Buy 1,21 Million Tons Indonesian Palm Oil

CHINESE companies has signed a purchase contract of 1,21 million tons of palm oil products from Indonesia with a total contract value of US$726 million. Indonesian Ambassador to China Djauhari Oratmangun expressed his appreciation for this trade agreement. “Indonesia is able to meet China’s increasing need and demand for palm oil products. Chinese companies can rely on our quality and quantities of palm oil products and its derivatives,” Djauhari said quoted on website published by Indonesia’s Embassy in Beijing, China, (11/7/2018). This purchase agreement was signed by some Indonesian and Chinese companies, including PT Wilmar Nabati Indonesia, Cofco China, Yihai and Kerry Investment Co. Ltd. About 1 million tons of the products will be supplied from oil palm plantations on the island of Sumatera. President of China Chamber of Commerce of Import and Export of Foodstuffs, Native, Produce and Animal by Products (CFNA) Bian Zhen Hu, said that Indonesia has to keep promoting its palm oil products to Chinese market. CFNA has agreed to facilitate both business parties to boost trade cooperation between two countries. Director General of Department of Asian Affairs, Ministry of Commerce People`s Republic of China Peng Gang said that the two countries have increasingly close and effective trade cooperation. Peng Gang promised to open wider market for Indonesia and the world. China’s demand for Indonesia’s CPO continue to grow. During 2017, palm oil import from Indonesia alone reached US$2,21 millions and during 2016 was recorded at US$1,67 millions. This achievement  puts Indonesia as the largest palm oil exporter for China. ***