Zulkifli Hasan: Indonesian CPO Exchange & Reference Price to Launch by July
9 March 2023 01:31
The Indonesian Government is set to launch its own crude palm oil (CPO) exchange and hence implement an Indonesian CPO reference price, the latest by July this year.
Indonesia's Minister of Trade Zulkifli Hasan said, that by forming an Indonesian CPO reference price, the hope is that Indonesia will no longer use other reference prices, like the Malaysian CPO reference price which has been the common practice.
This will allow Indonesian CPO farmers and palm oil producers to follow Indonesia's own reference price instead of following another country's reference price that could be affected by other external factors.
The Indonesian cpo reference price is also hoped to be the main global benchmark, especially considering that Indonesia is the world's largest producer of palm oil.