Inacom Boosts Palm Oil Exports

The cooperation agreement was signed by PT KPBN President Director Edward S Ginting, LPEI Business Development and Assignment Division Head Ridha Farid Lesmana, and Bank BJB Commercial and UMKM SEVP Beny Riswandi in Jakarta yesterday.

In the agreement, PT KPBN received working capital credit and trade finance from LPEI and working capital financing from Bank BJB for a total of Rp400 billion and a term of 12 months.

Edward revealed this partnership is the company’s first step towards entering a larger market. “PT KPBN’s function is as a marketing agent for 14 PTPN in Indonesia, while the existing market is very large,” Edward said.

Edward explained that crude palm oil (CPO) production in Indonesia per year is 46 million tons. Meanwhile, the PTPN Group contributes around 3.5 million tons or around 8%-9% towards the total commodities in Indonesia. “That means there are still millions of tons ready to be sold,” he explained.

Edward hopes the funds can increase the company’s performance and maximise CPO export abroad. Several countries that are targeted for export include India, Africa, and some parts of Europe.

“We hope this additional capital can contribute even more so that we can start buying from private palm oil factories and export them directly abroad,” he said.

Bank BJB Commercial and Corporate Credit Division Head Dicky Syahbandinata stated that his party is working with PT KPBN because the company has a fairly good foundation and sees potential to grow.

SOURCE: mediaindonesia.com