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Indicates Unfair Business Practices in Crude Palm Oil (CPO)

The Business Competition Supervisory Commission (KPPU) has indicates possibility unfair business practices in the Crude Palm Oil (CPO) industry. KPPU commissioner, Syamsul Maarif said that the industry is evolving as an Oligopoly, as indicated by the presence of only a few players. 

As we know that currently, the industry is dominated by a number of big players, including PT Bakrie Sumatera Plantations, PT London Sumatera and PT Sinar Mas Agribusiness and Food.

The Government of Indonesia as representative by KPPU must be handling very urgently this unfair competition. Cause, if this unhealthy situation persists, the market will become distorted.

Government must be inviting more players to become involved in the sector. Besides inviting the new players, the government should also work together with the existing players to seek the best solution so as to guarantee a balance between CPO exports and domestic supply.

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