Bisnis Indonesia, 23 April 2018
The government still has to overcome several domestic and global issues in palm oil industry, if Indonesia wants to make use of the global vegetable oil demand that is predicted to reach 5 million tonnes per year until 2025. The Indonesian Palm Oil Association (GAPKI) Chairman Joko Supriyono said that the issues included low productivity of CPO, bad weather condition, and unfriendly global market. According to the data from Indonesian Palm Oil Society (Maksi), Indonesia ranked fourth in terms of productivity after Malaysia, Colombia, and Thailand. Joko said that Indonesia’s palm oil business players are also hampered by high financial costs due to poor infrastructures, permit application process, and social and security costs. These issues are often found in the provinces.