Highest Level Throughout History, KPBN CPO Price Reaches Rp 15,000/Kg

“Throughout 2021, the CPO price increased by almost 36.3% compared to 2020. Palm oil is a global commodity using the Bursa Malaysia reference,” Rahmanto said in the RDPU of Commission VI of the Indonesian House of Representatives with the Indonesian Vegetable Oil Industry Association (GIMNI), General Association of the Indonesian Edible Oil Industry (AIMMI), the Indonesian Palm Oil Entrepreneurs Association (GAPKI), and PT. Kharisma Pemasaran Bersama Nusantara (KPBN) INACOM, Wednesday (January 19, 2022).

Rahmanto explained that the increase in the CPO price was influenced by four factors. First, a shortage of production in producing countries due to COVID-19 and weather disruptions, for example, palm oil supply from Malaysia dropped by 6%. Second, India’s policy to cut its import tax.

Third, the impact of commodity supercycle speculation. The fourth factor is the solid movement of crude oil and vegetable oil prices.

“High prices will continue to persist until the first quarter of 2022, at least until Ramadan. Until an improvement in mid-2022,” he said.

He said the CPO price was strongly influenced by the market. KPB conducts tenders to determine the price each day. As long as supply is reduced, especially due to the COVID-19 pandemic, because human movement is restricted. As happened in Malaysia where there is a shortage of workers.

As of January 18, 2022, the CPO price Franco Belawan & Dumai was IDR 14,805/Kg. Furthermore, the CPO price Franco Belawan & Dumai was IDR 14,760/kg.

Source: https://sawitindonesia.com/tertinggi-sepanjang-sejarah-harga-cpo-kpbn-capai-rp-15-000-kg/