Indonesia will begin restricting the exports of palm oil this week, which could increase the prices of hundreds of consumer products. On Friday, President Joko Widodo said Indonesia will suspend exports of cooking oil, and the raw materials used to make it. The ban takes effect on Thursday and the nation will try to secure local supplies.
The country is the world’s biggest palm oil producer and the announcement sent prices of the product way up. Crude palm oil futures in Malaysia, a global benchmark, jumped nearly 7 per cent. The restrictions are expected to include palm olein, a more processed product which is used for cooking oil and makes up an estimated 40 to 50 per cent of Indonesian exports, according to analysts.
Palm oil is found in many of the world’s food, cosmetics and household items. The WWF estimates that it’s used in nearly 50 per cent of all packaged products in supermarkets. The oil is used for cooking and India is the world’s top importer. .
For more information about the source click HERE