The current DMO for cooking oil requires producers of crude palm oil (CPO) who wish to export the commodity to fulfill the DMO quota of 1:6, he informed.
“Today, I held a coordination meeting with ministries/agencies related to cooking oil producers. We agreed to increase the supply of DMO by cooking oil producers to 50 percent until entering the Eid al-Fitr period," he said on his official Instagram account, which was accessed from Jakarta on Monday.
He informed that there will be an increase in the price of bulk cooking oil ahead of Ramadan.
Currently, the government is observing a shift in the consumption of cooking oil. People who usually buy premium cooking oil have started to consume Minyakita, which was used by the government to check domestic cooking oil prices and match them with the ceiling price (HET) of Rp14 thousand per liter.
In addition, there has been an increase in the price of Minyakita cooking oil due to reduced DMO supply, especially for Minyakita.
Moreover, cooking oil prices have soared due to problems in the distribution process, both involving stockpiling indications and violations of HET stipulations in the field, Pandjaitan said.
According to the minister, the government has also decided to deposit some of the export rights currently owned by exporters so that they can use them again in the future after the situation returns to normal.
"This has been done solely to maintain domestic supply and ensure that the prices remain stable," he explained.
For entrepreneurs, the government will increase the incentives for cooking oil exports as an effort to maintain supply, he said.
The government will carry out strict supervision based on the Bulk Cooking Oil Information System (Simirah) data and take action on violations found in the field, he added.
"In addition, the Ministry of Trade will also reopen a hotline for public complaints regarding various violations related to the availability of cooking oil on the market, to be followed up directly," he said.
It is hoped that these efforts can stabilize cooking oil prices and help people access cooking oil at affordable prices easily, he added.
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Translator: Sella Panduarsa G, Resinta S
Editor: Sri Haryati
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