Poster in Jul 03, 2025 12:25:59

Indonesia seeks 'predictable policy' from India on palm oil imports

Indonesia seeks 'predictable policy' from India on palm oil imports

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Indonesia has urged India to adopt a predictable palm oil import policy to ensure stable trade amid a changing climate and policy shifts. Highlighting mutual market needs, Indonesia seeks transparency in stock management and import-export rules to avoid trade disruptions.

Indonesia, the world’s biggest producer and exporter of crude palm oil (CPO), on Wednesday sought a “predictable policy: on shipment of cooking oils to India.

“We both are populous countries in the world and have large domestic markets to cater to. We need to have a predictable policy taking into consideration the supply and demand side issues,” Ina Hagniningtyas Krisnamurthi, Indonesia’s ambassador to India, told FE.

She said that there is a need for openness in understanding the stock management policies of both governments, and “we hope that predictable policies or certainty policies will not hamper the trade itself,”.

“With climate change being a frequent occurrence, we also understand that the Indian government will impose certain policies, while we also impose certain policies when it comes to weather and yield,” Krisnamurthi said, referring to import duties imposed by India and export restrictions by Indonesia.

On May 30, India reduced the effective import duty, including basic customs duty and cess, on these three oils to 16.5% from 27.5% imposed in September last year to curb a spike in prices.

Source: Online/OFA

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