Trade ministry set the reference price of crude palm oil products for export duty during May 2021 is US$1,110.68 a metric ton of CPO, increased by 1.54 percent from April, which was $1,093.83 per MT of CPO - Photo by GAPKI Office

JAKARTA (TheInsiderStories) – Trade ministry set the reference price of crude palm oil (CPO) products for export duty during May 2021 is US$1,110.68 a metric ton (MT) of CPO, increased by 1.54 percent from April, which was $1,093.83 per MT of CPO. The government also announced, most of the commodity prices have increased amid the COVID-19 pandemic.

“Currently, the reference price for CPO far beyond the threshold of $750 a MT of CPO. For That, the government imposes the export levy for CPO at $144 per MT for the period May 2021,” said the director general at the ministry, Didi Sumedi, by adding this value changed from April at $116 per MT of CPO.

In the same month, the decline also occurred for the reference price of cocoa beans at $2,415.54 a MT, a decrease of 5.83 percent from the previous month, which was $2,565 per MT and had an impact on the decline benchmark price of cocoa beans in May 2021 to $2,130 a MT. The price down 6.41 percent compared to April.

The increase in the reference price of CPO, he noted, was due to the decline in global production, while the decline in the benchmark price for cocoa beans was caused by a decrease in demand as a result of lower quality of cocoa. This decrease has no impact on the export levy for cocoa beans which remains at 5 percent. The reference price for wood and leather products did not change from the previous month.

On the mining sectors, the increase in demand has affected the determination of the reference price for export in May. Manganese concentrate, zinc concentrate, ilmenite concentrate, rutile concentrate, and bauxite washing has increased compared to last month due to an increase in world demand.

“Copper concentrate, concentrate iron, laterite iron concentrate, iron sand concentrate, and lead concentrate have decreased price. As for iron sand concentrate pellets, there is no change,” said Sumedi in an official statement released end of last week.

Mining products that experienced an average price increase in May were manganese concentrate (Mn≥49 percent) with an average price of $218.99/WE or an increase of 2.51 percent compared to April. Zinc concentrate (Zn≥51 percent) at $786.74/WE or rose 3.39 percent, concentrate ilmenite (TiO2≥45 percent) with an average price of $432.98/WE or rose of 6.74 percent, rutile concentrate (TiO2≥90 percent) with an average price of $1,122.57/WE or an jumped of 3.14 percent, and washed bauxite (Al2O3≥42 percent) with an average price of $30.45/WE or up 3.93 percent from a previous month.

While, the products experienced lower prices compared April is copper concentrate (Cu≥15 percent) with an average price of $3,229.74/WE or down 0.76 percent, ferrous concentrates (hematite, magnetite) (Fe≥62 percent and ≤1 percent TiO2) with average prices $149.16/WE or fell 1.94 percent, and laterite iron concentrates (gutite, hematite, magnetite) with grade (Fe≥50 percent and Al2O3 + SiO2≥10 percent) with an average price of $76.22/WE or dropped 1.94 percent.

In addition, lead concentrate (Pb≥56 percent) with an average price of $805.75/WE or down 2.63 percent and iron sand concentrate (lamella magnetite-ilmenite) (Fe≥56 percent) with an average price of $89.07/WE or decreased by 1.94 percent. As for iron sand concentrate pellets (lamella magnetite-ilmenite) (Fe≥54 percent) unchanged with an average price of $117.98/WE.

Written by Editorial Staff, Email: theinsiderstories@gmail.com