Government Asked to Announce CPO Tax Soon
Friday, 31 August, 2007 | 20:09 WIB

Tempo Interactive, Jakarta: A number of circles asked the government to announce the scheme of progressive tax for crude palm oil (CPO) and CPO-based products. The uncertainty of the policy plan will distort the international CPO price.

The House of Representatives (DPR) Industry and Trade Commission Deputy Chairman, Lili Asudiredja, said that the government should announce the progressive tax scheme today (31/8). “The government has been touting it will apply the scheme early in September,” he told Tempo yesterday (30/8).

According to Lili, the government should make a stricter policy. “The export levy hike was not effective. In the past it was already proven that the tax hike up to 60 percent was successful in reducing the domestic cooking oil price,” he said.

General Chairman of the Indonesian Palm Oil Producers Association, Akmaluddin Hasibuan, is of the opinion that the government’s latest policy is being watched by the world. “In addition to determining the international CPO price, this policy affects investors who are take part in Indonesian plantation shares,” he said.

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