EDUCATION AND SOCIALIZATION OF PALM OIL TRADE POLICY IN INDONESIA

Abstract

Significant increases in palm oil prices at the end of 2021 and early 2022 in Indonesia and in the world is an important concern for the government and all stakeholders to minimize the negative impact of the fluctuations in the price of the staple commodity. The Indonesian government made several policies in order to stabilize prices and ensure domestic palm oil supply, trade and export continued to run well amid the increase in palm oil prices. Based on the literature study can be seen that the international crude palm oil increased 77% in February 2022 (yoy) and domestic cooking oil price increased 33.78% in December 2021 (yoy). The juridical legal analysis shows that the Government of Indonesia made some new policy such as: (i.)the Regulation of the Minister of Trade No.5 of 2020 concerning Determination of Standard Export Prices for Agricultural and Forestry Products Subject to Export Duty, (ii.) the Regulation of the Minister of Trade No. 6 of 2022 concerning the Determination of the Highest Retail Price for Palm Cooking Oil, (iii.) the Regulation of the Minister of Trade No. 8 of 2022 concerning the second amendment to the Regulation of the Minister of Trade No. 19 of 2021 concerning Export Policies and Regulation. Hopefully with these new regulations, the price stability and availability of palm cooking oil can be maintained and give more benefit to the people. The Government of Indonesia (GoI) has to do continuous education and socialization of recent trade policy of palm oil. All stakeholders especially palm oil company need to understand how the new policy can be implemented and give benefit to the Indonesian customer as well as benefit to shareholder by exporting the palm oil abroad.