CPO Price on KPBN Prints Record Throughout History, Breaks Through IDR 15,000 per Kg
Inacom is one of the state-owned enterprises (BUMN) engaged in the field of trade services (trade) and auction (tender) of plantation commodities to the international market. Inacom, which is the abbreviation of Indonesia Commodity, was previously named PT KPBN, a subsidiary in which the majority of shares were owned by PT Perkebunan Nusantara (Persero) Holding or PTPN Holding.
KPBN predicts that the highest position of the CPO price will continue to occur until the first quarter or before Ramadan, before production starts recovery in the middle of the second quarter of 2022.
“ The causes are supply and demand. Supply in Malaysia, the world's leading producer of crude palm oil, has fallen by 6 percent, ” said PT KPBN Director Rahmanto Amin Jatmiko at a Public Hearing Meeting of Commission VI of the Indonesian Parliament, Wednesday (19/01).
Rahmanto said that CPO supply depends on the movement of people during the pandemic. The CPO production factors in Malaysia and the weather can predict supply is still tight. While demand tends to rise.
According to him, CPO is a global commodity, so KPBN monitors the price of CPO based on the international market. Currently, KBPN's reference is the Malaysian derivative market (MDEX).
The determination of the CPO price is based on the price movement of competing commodities, supply and demand, the Levy and Export Tax policies, as well as global economic developments and strategic issues. Global economic conditions will be closely related to the level of demand that occurs.
Throughout 2021, the price of CPO increased by almost 35 percent compared to 2020. Based on KPBN observations, there were four factors that caused the increase in CPO prices, including shortage production in the producing country due to COVID-19 and weather disturbances.
Source: https://kumparan.com/kumparanbisnis/harga-cpo-di-kpbn-cetak-rekor-sepanjang-sejarah-tembus-rp-15-000-per-kg-1xL6UInr88j/full