Malaysian Palm Oil Council Russia's Post

*Prices Plummet, Indonesian Farmers Sell Palm Oil to Malaysia*

CNN New Zealand
Monday, 04 Jul 2022 08:24 WIB

Indonesian oil palm farmers are busy selling fresh fruit bunches (FFB) to Malaysia. This was triggered by the plummeting price of these commodities in the country.

Jakarta, CNN Indonesia --
Indonesian palm oil farmers are busy selling fresh fruit bunches (FFB) to Malaysia. This was triggered by the plummeting price of these commodities in the country.

The incident is known from a video uploaded by @majeliskopi08 Instagram account on Saturday (2/7). In the video, several trucks carrying palm oil are seen stopped on a road.

"We want to bring fruit to Malaysia, we bring today 30 tons, because the price of fruit in Indonesia is like in his words Indra Kenz 'Wow, it's really cheap'," said a man in the video.

Meanwhile, confirmed separately, the Chairman of the Indonesian Palm Oil Farmers Association (Apkasindo) Gulat Manurung confirmed the sell-off. He said the farmers did sell FFB to Malaysia because of the higher price.

The sale is carried out by oil palm farmers in provinces bordering neighboring countries, such as North Kalimantan and Central Kalimantan.

"Indeed, in terms of regulation, it is not justified. But I don't know how else. Many mills (palm oil mills) have rejected smallholders' FFB, and many have even closed. Meanwhile, oil palm farmers must continue their lives and pay for their families," he told CNNIndonesia.com, Monday (4/7).

Wrestling said the significant price difference was one of the reasons. In Malaysia, the price of FFB is still in the range of Rp3,500 to Rp4,500 per kg.

Meanwhile, the price of FFB in North Kalimantan and Central Kalimantan is only around Rp1,200 to Rp1,600 per kg.

Wrestling said under these conditions all parties are harmed, whether farmers, the state, corporations. Therefore, he reminded the government to find out the cause of the fall in domestic FFB prices.

"The state should not just appeal, but fix which is the main cause. It's all a race against time, before it's too late," he said.
By: via Malaysian Palm Oil Council Russia