Indonesia Addresses Palm Oil Price and Export Concerns
The Indonesian government met with palm oil farmer groups to address falling fresh fruit bunch prices following a plan to centralize exports through a state agency. Officials urged local authorities to monitor mill prices and ensure compliance with regulations during the transition.
The government of Indonesia met with palm oil farmer groups to address a collapse in fresh fruit bunch (FFB) prices. The price drop followed the announcement of a new policy requiring all palm oil exports to be funneled through a state agency. Local farmers reported that collection points shut down and prices plunged as mills reacted to the regulatory uncertainty.
### Stabilizing the Palm Oil Supply Chain Deputy Agriculture Minister Sudaryono told reporters after the meeting that the central government is ordering local authorities to enforce FFB pricing regulations. The ministry is demanding that regional heads monitor palm oil mills to ensure they purchase fruit at official rates. Sudaryono said the government aims to prevent further disruption to farmer livelihoods during the policy transition.
