Statement on recent Indonesian export policy announcement
SIPEF notes the recent public statement by the Indonesian government regarding potential changes to the export mechanisms for certain strategic commodities, including palm oil.
At this stage, the detailed implementing regulations and operational framework have not yet been published and the full implications therefore remain unclear. SIPEF is closely monitoring developments together with its local management teams, advisers and industry partners in Indonesia.
SIPEF operates in compliance with Indonesian laws and regulations and maintains longstanding constructive relationships with local stakeholders and government authorities. The Indonesian palm oil sector has historically operated within a regulated environment, including export levies, domestic market obligations and other market mechanisms. The majority of SIPEF’s Indonesian palm oil is sold on the domestic market.
The Group will provide further market updates if and when appropriate.