Indonesian businessmen and China have signed contracts to purchase crude palm oil (CPO) products and their derivatives. The export value of the signed CPO reached US$ 2.6 billion, equivalent to Rp. 40.3 trillion (exchange rate of Rp. 15,500). The memorandum of understanding on trade cooperation was signed by the China Chamber of Commerce for Import and Export for Foodstuffs, Native Produce and Animal By-Products (CFNA) with four Associations for Indonesian palm oil products and their derivatives.
Minister of Trade Zulkifli Hasan alias Zulhas previously said that the agenda for signing a trade contract at the Ministry of Trade signed the purchase of 1 million tons of CPO products. Where the figure was previously planned during President Joko Widodo’s meeting with Chinese President Xi Jinping. However, not long ago the Ministry of Trade reported that the trade agreement that had been made suppressed the purchase contract of 2.5 million tons with a transaction value of US$ 2.6 billion. The transaction was carried out in the signing of 16 trade contracts by 9 Indonesian business actors with 13 Chinese buyers assisted by the China Chamber of Commerce for Import and Export for Foodstuffs, Native Produce and Animal By-Products (CFNA). Zulhas also expressed a request to make it easier for other Indonesian products to enter the Chinese market. In this way, it is hoped that the cooperation between the two countries will continue to be profitable.
For information, in January to August 2022 exports of Indonesian palm oil products and their derivatives to China reached US$ 3.6 billion. Based on data from the Central Statistics Agency processed by the Ministry of Trade, the export volume of palm oil products and their derivatives from Indonesia to China in 2021 will reach 6.6 million tons. That value increased 14.17% from the previous year. In 2021, the export value of Indonesian palm oil products to China reached US$ 6.06 billion, an increase of 82.87% from the previous year. This increase was due to the increase in world CPO commodity prices in the last year.
On the same occasion, Deputy Minister and Deputy Minister for International Trade of China Wang Shouwen, said he acknowledged that Indonesia had been a source of palm oil for China for 7 consecutive years. His party is committed to continuing to improve bilateral relations, both for CPO imports and others.
November 11, 2022, detikFinance
(https://finance.detik.com/berita-ekonomi-bisnis/d-6400751/china-borong-cpo-ri-nilainya-rp-40-t)