The price of cooking oil and other products like soaps and biscuits, that are produced using crude palm oil (CPO) should rise in the coming weeks in Ghana if the ban on the export of palm oil from Indonesia isn’t lifted. This is according to stakeholders within the palm oil industry.
Indonesia, the world’s biggest producer of crude palm oil, ordered a ban on the export of the commodity starting April 28 to address an ongoing shortage of cooking oil in the country.
Ghana is a currently a net importer of crude palm oil and according to the Managing director of Wilmar Africa Limited producers of Frytol, Kwame Wiafe, prices on the international market have already started rising and should impact prices in Ghana soon.
“The move by Indonesia will definitely lead to an increase in prices of products in the shops. Ghana’s prices are directly linked to prices on the international market mainly because we are net importers. Already prices in Ghana are at an all-time high for palm oil related products. Since we started the year, prices have risen by about 50%.”
“Just after the announcement by Indonesia, price of CPO has gone up from $1,600 per metric tonne to $1,850. And this is likely not the end with the price increases. So since this translates our local market, it will lead to increased prices on the local market,” he added.
Source: citibusinessnews.com