APCASI Asks Palm Oil Export Drop to Decrease

By : Hariyanto And Aldo Bella Putra | Friday, May 04 2018 - 22:00 IWST

kelapa sawit
kelapa sawit

INDUSTRY.co.id - Jakarta - The Indonesian Palm Shell Entrepreneurs Association (APCASI) asked the government to lower the export duty on palm shell since not all the palm shells can be utilized domestically.

"Of the 8.3 million tons of palm shells, only 1.9 tones are newly exported, the remaining much of which is not utilized, this is Indonesia's chances but is hampered by an export tax that reaches 7 US dollars plus 10 US dollars of palm levy per ton of palm shells, while Malaysia does not apply the tax, "said Chairman of APCASI Dikki Akhmar on Discussion themed" Realizing Self-Reliance Energy-Based Eco-Based Energy in Jakarta, Thursday (3/5/2018)

He explained that due to the export tax which is valid since June 2015, from 35 exporters of palm shells only five are still survive and many of its follow-up businesses are stopped like transportation, sorter workers.

"Another result is that when a lot of palm shells are piled up because they are not exported, finally the law of the market applies and the price of the palm shell drops," he said.

According to him, the reasonable export duty for palm shells ranges from US $ 3 per ton to export duty and three US dollars per ton for palm fines so that exporters still have a margin to run their business.

Currently world crude palm shell prices range from 77 to 79 dollars per ton, but businessmen are also taxed VAT for the purchase of palm shells.

He disclosed that many of the impacts of the palm shell business such as the shipping of palm shell business from factory to port reached Rp150 billion per year and the workforce involved 385 drivers, distribution personnel and loading and unloading personnel.

Even the VAT tax from the purchase of palm shells reached Rp67, 5 billion per year.

Currently Japan needs a palm shell to power two biomass power plants, while in the future it also adds seven more generators from biomass.

He also hopes that abundant palm shells that can be used by power plants in Indonesia for example using funds from the Fund Management Agency Plantation Palm.

Head of Sub-Division of Non-Food Plantation Industry Ministry of Industry Lila Harsah Bachtiar who attended the event also said that the export tax of palm shell could be revised but there is a process and hope the entrepreneur proposes for the right reasons.

He said the reason for the government to apply the export tax on the palm shell is because it is considered as a source of biomass to power the power plant so it is expected to be used domestically.

It is estimated that the waste of palm shells in Indonesia in 2020 reached 10.4 million tons with the calorie value of the palm shell reached 3,300 kcal per kilogram so that if used for power plants can generate hundreds of megawatts.

News Comment

Today's Industry

Source: kemdagri.co.id

Jumat, 30 Juli 2021 - 07:00 WIB

Home Ministry: COVID-19 Vaccination Certificate Not Required to Receive Administrative Services

Ministry of Home Affairs has affirmed that COVID-19 vaccination certificate is not required to receive citizenship administrative services.

source: PR of Ministry of Youth and Sports

Kamis, 29 Juli 2021 - 21:30 WIB

President Jokowi Congratulates Rahmat on Winning Bronze Medal at Tokyo Olympics

President Joko “Jokowi” Widodo congratulated Indonesian weightlifter Rahmat Erwin Abdullah for winning the bronze medal at the 2020 Tokyo Olympics.

Vice President of Indonesia Ma’ruf Amin (Photo by: Presidential Secretariat)

Kamis, 29 Juli 2021 - 21:00 WIB

Gov’t to Foster Development of Sharia Economy and Finance

Indonesia is a country with the largest Muslim population that has potential to become the world’s largest halal producer. However, the potential has not yet been optimally utilized. Indonesia…

Coordinating Minister for Economic Affairs Airlangga Hartarto

Kamis, 29 Juli 2021 - 20:30 WIB

Gov’t to Modernize Cooperatives for Better Adaptiveness and Competitiveness

In a bid to revive national economy amid the pandemic, including to keep the businesses of MSMEs afloat and to curb unemployment, the Government has provided stimulus to cooperatives through…

Head of the National Research and Innovation Agency Laksana Tri Handoko (28/07/2021) (Photo by: PR of Cabinet Secretariat)

Kamis, 29 Juli 2021 - 19:59 WIB

Gov’t to Develop Technology for Medical Waste Treatment

In a bid to increase the capacity of medical waste treatment amid COVID-19 pandemic, the Government has announced it will develop technology for micro-scale and mobile medical waste treatment.