inp.polri.go.id – Jakarta. President Ir. H. Joko Widodo has ordered to stop exports of cooking oil and their raw materials because Indonesia can enter into a global crisis if it’s not prevented immediately.
The ban has the potential to make Crude Palm Oil (CPO) prices on the world market soar. This will add to the problems of Western countries which are already under pressure due to the lack of oil and gas supplies.
The world’s response will be unpredictable. Indonesia could be a target for their anger. Previously, NATO countries walked out when Sri Mulyani chaired the pre-G20 session in Washington DC.
On the other hand, the US State Department has also questioned the issue of human rights violations in Indonesia, in their annual report.
Domestically, the eight largest CPO producers will also suffer a loss of trillions of rupiahs. Oil palm farmers can also be affected by the price of FFB falling deeply, perhaps around 50%.
Their reactions can affect the security conditions in the country. The CPO tycoons may support protests against the government so thorough anticipation is needed to secure the conditions that may be disturbed in the future.
