Palm oil export restriction by Indonesia to affect export of processed palm oil from Nepal

Published 2022년 5월 2일

Tridge summary

Indonesia's new ban on palm oil exports is expected to negatively impact Nepal's export of processed palm oil and goods made from it, including staples like biscuits, instant noodles, soaps, and products used by the restaurant industry. This comes as a result of the ongoing edible oil shortage caused by the Russia-Ukraine conflict. The price of palm oil in Indonesia has already risen significantly, and the shortage is expected to affect around two dozen factories in Birgunj and Biratnagar, which together have invested approximately Rs 50 billion in production. The conflict is also causing issues in the global supply of other edible oils, such as sunflower and soybean oil, by restricting the export of oil seeds.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

KATHMANDU, May 2: Nepal’s export of processed palm oil along with the manufactured goods using this oil are likely to face a serious hit after Indonesia imposed a ban on the export of palm oil citing the ongoing shortage of edible oil triggered by the Russia-Ukraine war. According to international media, Indonesia, since last Wednesday, imposed restrictions on the export of its palm oil. The price of palm oil has recently surged from US $ 1.03 per liter to $ 1.52 per liter in the Indonesian market. Since the past few years, palm oil has been the main export item of Nepal, giving the country billions of rupees in its export earnings. Nepal exported palm oil worth Rs 33.61 billion to India during one month of mid-March and mid-April this year. Prakash Mundada, former president of Morang Trade Association, said the disruption in the supply of palm oil will affect around two dozen factories in Birgunj and Biratnagar that have invested around Rs 50 billion in their production plants. ...

Source: Nagariknetwork