Update COVID-19 in Indonesia: 59,394 confirmed infections, 2,987 deaths (2 July 2020)
2 July 2020 (closed)
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Indonesian exports of crude palm oil (CPO) in June 2013 grew about 29 percent to 1.62 million ton compared to the same month last year. Although production of CPO in Indonesia slowed down in June, higher demand for Indonesia's CPO is met because there are still sufficient amounts of stockpiles. A high official at the Indonesian Palm Oil Association (Gapki) said that stockpiles in 2012 grew to 5 million tons as global demand for the commodity weakened sharply amid international economic turmoil.
This year, Indonesian CPO exports are expected to increase by one million tons compared to 2012, when approximately 18.1 million tons of CPO were exported. Last year, Indonesia's palm oil business had a rough year as the global palm oil price weakened sharply due to reduced demand. As such, stockpiles were able to rise. This year's CPO production is estimated to reach 25.5 million tons according to Gapki.
The palm oil industry is one of the most important industries of Indonesia as it contributes a significant portion to the country's economy (but also controversial due to environmental concerns) and provides employment for 4 million Indonesians. Earnings in Indonesia's plantation sector are dominated by palm oil, which accounts for 24 percent of total non oil & gas exports and 19 percent of total Indonesian exports. As such it is an important pillar of the Indonesian economy.
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in USD billion