Halt to palm oil expansion to expire soon

As palm prices surge almost 50% in the past year due to tight supply, the government has given few signs on whether the moratorium would remain.

JAKARTA: Indonesia’s moratorium on new oil palm plantation permits is set to expire this week as the industry awaits clarity on whether the government will extend the policy.President Joko Widodo ordered a stop to permit issuance for new plantations and expansion of existing ones for three years in a decree signed on Sept 19, 2018.

That order expanded on an earlier ban on permits for plantations on primary forest and peat land. As palm prices surge almost 50% in the past year due to tight supply, the government has given few signs on whether the moratorium would remain.