CURRENT AFFAIRS

Detailed explanation-1: -The world’s top palm oil exporter on April 28 halted shipments of crude palm oil and some derivative products to try to tame soaring prices of domestic cooking oil, surprising markets that were already rattled by earlier government intervention measures.

Detailed explanation-2: -Indonesia’s ban, which was imposed since April 28, was one of the biggest acts of crop protectionism since Russia’s invasion of Ukraine, which stymied exports of sunflower oil and worsened a global shortage.

Detailed explanation-3: -On December 21, 2022, President Joko Widodo announced that Indonesia will impose a bauxite export ban starting from June 2023, in a move to shore up the domestic processing of its mineral resources.

Detailed explanation-4: -Jokowi’s administration imposed the ban in late April, in a bid to control the soaring domestic cost of cooking oil – a potential political liability – after subsidies, export permits, and a palm oil levy had all failed to bring the cost down.

Detailed explanation-5: -To tackle this, Indonesia’s government banned the export of CPO, as well as some of its derivatives, in the hopes the price would drop to 14,000 rupiah per liter, at which point it said the ban would be lifted.