Home News Indonesia’s CPO, Cocoa Bean Benchmark Price Dropped in June

Indonesia’s CPO, Cocoa Bean Benchmark Price Dropped in June

JAKARTA (TheInsiderStories) – The government sets a reference price and export duty for Crude Palm Oil (CPO) products in June period of US$547.17/metric ton (MT). The reference price dropped 4.56 percent from May period, which was recorded at $573.31/MT.

Meanwhile, cocoa bean reference price in June 2019 was $2,327.27/MT, down 0.03 percent from the previous month at $2,328.05/MT.

“At present the CPO reference price remains at the level below $750/MT. For this reason, the government imposes CPO Export Levy of $0/MT for the period of June 2019,” said the Director General of Foreign Trade of the Ministry of Trade Okay Nurwan in an official statement today (05/28).

According to him, this stipulation is stated in the Minister of Trade Regulation No. 33 of 2019 concerning Determination of Benchmark Prices for Exports of Agricultural and Forestry Products Subject to Export Levy.

“The decline in reference prices and the benchmark export price of cocoa beans was due to weakening international prices,” Nurwan explained.

However, this decrease does not have an impact on the export duty of cocoa beans which is 5 percent, as stated in column 2 Attachment II Letter B Minister of Finance Regulation No. 13/PMK.010/2017.

Meanwhile, benchmark price and export duty for timber products and leather products have not changed from the previous month’s period. Export Duty for wood products and leather products is listed in Appendix II Letter-A Minister of Finance Regulation No. 13/PMK.010/2017.

Written by Daniel Deha, Email: daniel@theinsiderstories.com