Latest News: Page 47

Palm oil producers ready to export 8 million tons of CPO to Europe

27

Sep

Palm oil producers ready to export 8 million tons of CPO to Europe

The Secretary-General of GAPKI (Indonesian Palm Oil Producers Association), Togar Sitanggang, stated that although the average European demand for [...]

Palm oil producers ready to export 8 million tons of CPO to Europe. The Secretary-General of GAPKI (Indonesian Palm Oil Producers Association), Togar Sitanggang, stated that although the average European demand for palm oil stands at 6 million tons up to the year 2020, he is optimistic that Indonesia would be able to supply 8 million tons if demanded by Europe. “And we are ready to supply not only 6 million tons, but 8 million tons of sustainable palm oil to the European market,” Togar said on Monday (25/9).

At this point, said Togar, the European Union is the second largest market for palm oil after India. Based on data from GAPKI in 2016, palm oil sales to the European Union reached 6.6 million tons. The largest palm oil market in the world is India, at 10.25 million tons. Meanwhile, China ranks third at 5.15 million tons.

Source: Kontan

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Monday, 25 September 2017
Apkasindo Conducts Positive Palm Oil Campaign in France
 
JAKARTA, SAWIT INDONESIA – The Indonesian Oil Palm Farmers Association (APKASINDO) reported three important indicators for palm oil’s contributions to Indonesia. These three indicators include economic growth, rural development, and poverty reduction.
 
This information was conveyed by APKASINDO’s Deputy Secretary-General, Rino Afrino, to participants in the Palm Oil Sustainability Talk Forum at the Paris Pavillon Dauphine in France on Saturday (23/09/2017).
 
Rino explained that it is undeniable that palm oil has a large impact on Indonesian society, especially palm oil farmers. Indonesia’s advantages are its tropical climate and high levels of rainfall. This is proven by the sharp increase in Indonesia’s palm oil production, from just 720 thousand tons of CPO in the 1980s to 32 million tons in 2016.

Bulog to Immediately Buy Sugar from East Java Farmers

26

Sep

Bulog to Immediately Buy Sugar from East Java Farmers

Director of Logistics at Perum Bulog, Tri Wahyudi Saleh, stated that the absorption of 25,000 tons is based on the amount of sugar available at the [...]

Bulog to Immediately Buy Sugar from East Java Farmers. Director of Logistics at Perum Bulog, Tri Wahyudi Saleh, stated that the absorption of 25,000 tons is based on the amount of sugar available at the storage facility. This number is likely to grow. Bulog is also waiting for information from APTRI regarding the amount of sugar available in storage facilities in West Java, Central Java, and South Sulawesi for absorption. `These are merely contracts and we are still waiting to see the quality check results,` he said on Monday (September 25). Finance Director at Perum Bulog, Iryanto Hutagaol, stated that the logistics agency would absorb around 1.20-1.40 million tons of sugar from farmers and PT Perkebunan Nusantara (PTPN) by the end of the year. This absorption will increase the stock of granulated sugar in Bulog storage facilities by 400,000 tons. Based on the results of a limited coordination meeting regarding sugar policy on August 15, 2017, Bulog was tasked with absorbing sugar from farmers and state-owned sugar factories which meet the Indonesian National Standard at a price of IDR9,700/kg without value added tax. The meeting also ruled that bulk sugar sales could only be conducted by Bulog. Meanwhile, APTRI hopes that the absorption of farmers' sugar by Perum Bulog could start this week. This hope was raised following a sugar quality test by PT Sucofindo, which is scheduled to be completed this week. Treasurer at APTRI, Sunardi Edi Sukamto, explained that the absorption amount is based on the amount of sugar available in storage. Based on the data received by APTRI, there are 37,000 tons of sugar from farmers at PTPN XI. `In total, there are around 300,000 tons of sugar from farmers. However, the absorption will follow proposals from each PTPN location or [PT] RNI [Rajawali Nusantara Indonesia] based on the amount of sugar ready in their storage facilities,` he said. Farmers must wait for the sugar quality test results within 5 days after the samples were taken. They have been informed that the sugar quality test by Sucofindo will be completed this week. Bulog will start absorbing sugar from farmers after that. `There are SNI requirements for ICUMSA, namely within a range of 80-120 and 120-300. If it is higher than that, Bulog will not purchase it,` he added. The International Commission for Uniform Methods of Sugar Analysis (ICUMSA) is an organization formed to establish methods of sugar quality analysis with over 30 countries as members. With regard to sugar color, ICUMSA has ranked the color quality of sugar. LAND PURCHASE In the meantime, PTPN XI invested IDR116 billion to purchase sugarcane land as one of its efforts to boost its own sugar cane production in line with the increased production capacity of its sugar factories in Lumajang and Situbondo in East Java. CEO of PTPN XI, M. Cholidi, stated that in purchasing land in the Situbondo area bordering Baluran National Park, the company collaborated with Bank Muamalat to finance the land purchase. `Out of the total investment, IDR25 billion is from our internal funds and the remaining amount is financed by Bank Muamalat,` he said in Surabaya on Monday (September 25). He explained that the total acquired land measures 267 hectares. The land which was previously planted with kapok trees was chosen because it was assessed as having potential for sugarcane cultivation. In addition, there is a dam or the Bajulmati reservoir in front of the area which could be used for an irrigation system. Cholidi added that the recent land purchase is very special because the company has not acquired any land in a long time. In fact, the sugarcane land keeps decreasing every year. `We have rarely purchased new land since we started working here. Currently, the land is ready and there is a parallel irrigation channel.` The total area for sugarcane cultivation is 8,500 hectares plus an additional 367 hectares. However, the company owns a total of 10,000 hectares, with 1,500 hectares used for seed development and other purposes. The total area cultivated with sugarcane, both the company's and the farmers', amounts to 471,000 hectares. Cholidi explained that the production of sugarcane needs to be boosted by increasing the cultivation area because next year the Assembagoes and Djatiroto sugar factories (PG) will need a lot of sugarcane raw material for processing following the completion of the capacity upgrade or enhancement. The two factories are those that received support for revitalization with state capital participation amounting to IDR650 billion, with PG Djatiroto receiving IDR400 billion and PG Assembagoes receiving IDR250 billion. The Assembagoes sugar processing capacity was increased from 3,000 tons of sugarcane per day to 6,000 tons per day and PG Djatiroto's capacity was increased from 7,500 tons per day to 10,000 tons per day. With the increased processing capacity, the two factories are estimated to be able to generate excess energy from the boiler and turbine generators. `Each PG will generate 10 MW of excess power or electricity. So, the 20 MW of excess power is ready to be sold to PLN Jatim,` Cholidi said. (B) Source: http://kalimantan.bisnis.com -------------------------------------------- September 24, 2017 Reasons for Increasing Granulated Sugar Production JAKARTA - The government has set a provisional sugar production target for 2017 at 2.38 million tons, an increase from the 2016 production of 2.2 million tons. Director of Seasonal Crops and Spices at the Ministry of Agriculture's Plantation Directorate General, Agus Wahyudi, explained that the sugar forecasting meeting held in Bogor in mid-September has set the predicted sugar production for this year at 2.38 million tons - 2.4 million tons. The government hopes that granulated sugar production could reach 2.4 million tons in line with the supportive weather. `The milling process has not ended yet. The last milling process might occur in December. Hopefully, we could reach 2.4 million tons. The weather is currently good,` he said while in Southeast Sulawesi when contacted by Bisnis on Friday (September 22). The sugar forecasting meeting was attended by granulated sugar producers with estate bases, academics from the Bogor Agricultural Institute, representatives from the Ministry of Industry, and representatives from the Ministry of Agriculture. The meeting recorded the development of sugar production data and calculated the estimated production until the end of the year. This number will be used for consideration in the import policies for the following year. According to him, the increased sugar production this year is supported by the improved weather which led to increased production. Unlike 2016 when it rained almost all year long, resulting in decreased production. Although production has increased compared to last year, it still does not meet the national granulated sugar consumption of 2.8 million tons per year. Therefore, there is still a deficit of 400,000 - 500,000 tons of granulated sugar. `Yes, there is a deficit. We only provide data for the Minister of Trade. This number will be used for consideration in import policies for next year. The prognosis for 2018 is currently being worked on,` he said. Lecturer at the Bogor Agricultural Institute (IPB) who participated in the granulated sugar forecasting, Purwono, explained that the granulated sugar production until the end of the year has the potential to be less than 2.38 million tons because the production until September only reached 1.9 - 2 million tons. According to him, the government should hold a limited coordination meeting regarding the import policy for raw sugar to be processed into granulated sugar to cover the deficit of granulated sugar. `This number should be used to calculate the balance. The margin of error is around 2%-3%,` he said after participating in the National Corn Conference in Jakarta on Wednesday (September 20). Agus added that the Ministry of Agriculture is currently gathering data on the need for ratoon stripping based on reports from regions. The Ministry of Agriculture plans to expand the sugarcane planting area by a total of 15,000 hectares. `That is still the total. We are still waiting for reports from all regions. We will later see what the numbers for ratoon stripping and expansion are. It is not complete yet,` he said. Source: www.industri.bisnis.com --------------------------------------- June 7, 2017 Government Targets Sugar Production to Reach 5 Million Tons in 2019 Bisnis.com, MALANG - The government targets the domestic sugar production to reach 5 million tons in 2019 with a program for revitalizing sugar factories (PG) and the addition of new PG. Minister of SOEs, Rini Soemarno, stated that the current national sugar requirement is around 6 million tons/year, with 3 million tons for consumption and 3 million tons for the food and beverage industry. `Meanwhile, the existing national sugar production still only reaches 2.5 million-2.8 million tons/year. So, it is still a long way off,` she said on the sidelines of the `Ramadan Package` assistance handover during the `SOEs Present for the Nation` activity in the Wonosari tea plantation, Lawang District, Malang Regency, East Java, Tuesday (June 6, 2017).

Deal! Indonesia Must Remain the World's Largest Palm Oil Producer

11

Sep

Deal! Indonesia Must Remain the World's Largest Palm Oil Producer

”The strengthening of Indonesian Sustainable Palm Oil (ISPO) is a real commitment from government and business in Indonesia to build a [...]

Deal! Indonesia Must Remain the World's Largest Palm Oil Producer. ”The strengthening of Indonesian Sustainable Palm Oil (ISPO) is a real commitment from government and business in Indonesia to build a sustainable palm oil plantation sector,” said Deputy of Food and Agriculture Ministry of Economy Musdalifah Mahmud in her speech at an international forum initiated by UNDP in the United Nations (UN) Headquarters, New York, United States recently.
 
The points to be achieved in the world forum attended by around 300 delegates from various countries, namely how the world can balance production needs while maintaining environmental sustainability. Apart from Musdalifah, the General Chairman of the Indonesian Palm Oil Association (GAPKI) Joko Supriyono also spoke at the forum.
 
Musdalifah hopes that in the middle of next year, the points related to the strengthening of ISPO can be fulfilled. According to her, strengthening ISPO is a momentum to improve the sustainability standards of the Indonesian palm oil sector to a level that can be accepted by the world.
 
Meanwhile, Joko Supriyono emphasized that the business world in Indonesia is committed to achieving environmentally friendly palm oil plantation management.
 
Currently, the business world and the government are working side by side on how to increase the productivity of oil palm plants, especially for farmers (small holders). ”Instead of expanding land, we focus on efforts to increase plant productivity,” said Joko.
 
Joko said, amidst the demands of sustainability, Indonesia must still maintain its position as the largest palm oil producer in the world.

Indonesia Still Waiting for Russia's Decision on Commodity Barter with Sukhoi

05

Sep

Indonesia Still Waiting for Russia's Decision on Commodity Barter with Sukhoi

Trade Minister Enggartiasto explained that the process of bartering Sukhoi with plantation commodities from Indonesia is still ongoing and has not [...]

Indonesia Still Waiting for Russia's Decision on Commodity Barter with Sukhoi. Trade Minister Enggartiasto explained that the process of bartering Sukhoi with plantation commodities from Indonesia is still ongoing and has not experienced any obstacles. `) (The process) is still ongoing, they (Russia) have not chosen (the commodity),` the Trade Minister said on the sidelines of the International Conference and Call for Paper in Cikini, Jakarta, Tuesday (August 5, 2017). According to him, Indonesia has provided a list of commodities that are ready to be bartered with Russian Sukhois. However, the country has not yet provided an answer or choices as to which commodities Russia wants. `This is only the first time; don't expect it to be finished in a week, we just started, we just started counter trade (barter), there are many technical issues,` said the Minister of Trade. However, the Minister of Trade emphasized that in carrying out the barter process, Indonesia does not want Russia to only choose one commodity to barter. According to him, an agreement is needed between the two countries regarding the selected commodities, including the agreed commodity prices, and this is still under discussion between the Russian state-owned enterprise, Rostec, and the Indonesian state-owned enterprise, PT Perusahaan Perdagangan Indonesia. `We can't force one commodity, and nor do we want to be asked for only one commodity,` he explained. As is known, the government will conduct a barter or trade of a number of plantation commodities with 11 Sukhoi Su-35 aircraft from Russia. The purchase value of the 11 new generation fighter aircraft reaches 1.14 billion US dollars or equivalent to Rp. 15.16 trillion with an exchange rate of Rp. 13,300 per US dollar. Based on data from the Ministry of Trade, Russia has so far been the 24th largest trading partner in 2016. Last year, the value of Indonesia-Russia trade was recorded at 2.11 billion US dollars, with Indonesia enjoying a surplus of 410.9 million US dollars, all of which came from the non-oil and gas sector surplus. Indonesia's non-oil and gas exports to Russia were recorded at 1.26 billion US dollars, while non-oil and gas imports from Russia were 850 million US dollars. Source: Kompas --------------------- August 22, 2017 The Price of 11 Sukhoi Obtained from the Commodity Barter is Around Rp. 15 Trillion JAKARTA, KOMPAS.com - The Indonesian government has agreed to a cooperation agreement for a trade exchange with Russia regarding the procurement of Sukhoi fighter jets for Indonesia through a barter mechanism. The government plans to bring in 11 fighter jets that will be used to update Indonesia's fighter fleet with a total value of 1.14 billion US dollars or equivalent to Rp. 15.16 trillion. Some of the commodities that will be used as objects for barter are agricultural products including tea, coffee, rubber, palm oil, and products from Indonesia that have high added value. The two countries have also appointed their respective State-Owned Enterprises (SOEs) to operate and regulate the mechanism of implementing the barter until the price of agricultural commodities is agreed upon. With this trade exchange mechanism, what will Indonesia get? Minister of Defense Ryamizard Ryacudu revealed that Indonesia will have 11 fighter jets with different capabilities and advantages. This includes the transfer of Sukhoi technology from Russia to Indonesia, as well as facilities for fighter jet maintenance or what is known as Maintenance, Repair, and Overhaul (MRO). `There are three (specifications), some can shoot but can't drop bombs, some can drop bombs but can't shoot, and some can do both, complete,` said Ryamizard during a press conference with the Minister of Trade Enggartiasto Lukita at the Ministry of Defense office, Jakarta, Tuesday (August 22, 2017). The Minister of Defense said the price had gone through several offers between the Indonesian and Russian governments. `I have been bidding for a long time, opening the price at 150 million US dollars, now it is 90 million US dollars complete,` said the Minister of Defense. Trade Minister (Minister of Trade) Enggartiasto Lukita said his party would also offer various domestic flagship products that could be used as objects for barter, such as combat vehicles or defense equipment made by PT Pindad, then products from PT Dirgantara Indonesia. `Earlier there was MRO, so the maintenance is very good. If Indonesia has good and complete MRO, then it will become a maintenance center for other countries,` said the Minister of Trade. With that, continued the Minister of Trade, next month the Russian government will visit Indonesia to continue discussions on the trade exchange. `This process is expected to run quickly because the Minister of Defense (Ryamizard Ryacudu) has pressured me to be able to speed up everything. We are ready to carry it out, early next month the Russian team will come for us to sit down and discuss everything,` he said. Source: Kompas

Below Standard, SOEs Reprocess Sugar Production Results

05

Sep

Below Standard, SOEs Reprocess Sugar Production Results

Deputy for Agro and Pharmaceutical Industry of the Ministry of State-Owned Enterprises, Wahyu Kuncoro, admitted that this was the only way to improve [...]

Below Standard, SOEs Reprocess Sugar Production Results. Deputy for Agro and Pharmaceutical Industry of the Ministry of State-Owned Enterprises, Wahyu Kuncoro, admitted that this was the only way to improve production quality, especially the whiteness level of the sugar.
`So, this is indeed the only way, it cannot be sold. So, it is included in the final grinding process, during washing,` Wahyu asserted to journalists at the Ministry of State-Owned Enterprises, Monday (4/9/2017).
He admitted that the rewashing process requires additional cost and the sugar that is reprocessed will be reduced. This will be calculated by the state-owned enterprise as part of the losses.
In the sealing process of the 18 sugar warehouses owned by PT Perkebunan Nusantara X (Persero) and PT Rajawali Nusantara Indonesia (Persero), samples were taken from at least 42 thousand tons of sugar in total.
`So, if it is reprocessed, there will definitely be a reduction,` Wahyu said.
Wahyu added that this incident is expected to be a material for evaluation for all state-owned enterprises engaged in sugar production business. Even though national sugar production has yet to be sufficient to fulfill public needs, sugar quality should not decline.
`Perhaps, this quality issue has not been a matter of concern so far because we are actually experiencing deficit, so all production sold. Now, I don't know why, the market is unable to absorb, the quality issue has become important,` he said.
 
Source: http://bisnis.liputan6.com

Crude Palm Oil Production Reached 36 Million Tons This Year

04

Sep

Crude Palm Oil Production Reached 36 Million Tons This Year

Derom Bangun, Chairman of the Indonesian Palm Oil Council (DMSI), estimated that national production of crude palm oil in July 2017 would reach 3.40 [...]

Crude Palm Oil Production Reached 36 Million Tons This Year. Derom Bangun, Chairman of the Indonesian Palm Oil Council (DMSI), estimated that national production of crude palm oil in July 2017 would reach 3.40 million tons. In that case, Indonesia's total production of palm oil from January to July 2017 could reach 21.55 million tons. `With the current good weather, production from January to December 2017 could reach 36 million tons, whereas the initial projection was 35 million tons,` Derom said in Jakarta on Sunday (3/9).
 
Derom also said that the positive production growth was supported by the fast increase in the productivity of young plants, and IMT (immature plants) becoming TM (producing plants) with a contribution exceeding the initial estimation.
 
Previously, The Indonesian Palm Oil Association (Gapki) stated that national palm oil export from January to June 2017 had reached 16.60 million tons, a 32.80% increase from the same period last year, which only reached 12.50 million tons. The increase was triggered by the surge in demand for palm oil from major export-destination countries, i.e., India, China, European Union (EU), and United States of America, as well as from Africa and Bangladesh.
 
The exports include crude palm oil (CPO) and palm kernel oil (PKO) with their derivatives, including oleochemicals and biodiesel. Meanwhile, production from January to June 2017 reached 18.15 million tons, while the same period in 2016 only reached 15.30 million tons. These data included the calculations from various palm oil associations, including DMSI.
 
According to Derom, palm oil production in July 2017 was believed to reach 3.40 million tons, export around 2.10 million tons, domestic consumption 800 thousand tons, and stock around 2.30 million tons. For August and September, DMSI estimated the production to be 3.50 million and 3.80 million tons each. `From January to July 2015 production was 18.50 million tons, while from January to July 2017, it reached 21.55 million tons. In October, production is estimated to decrease to 3.50 million tons, and in November to December 2017, it is expected to decrease even more,` Derom said.
 
However, plantations that have conducted fruit stock census on trees could yield a more accurate estimation. `But since there is none,

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