Minister Warns 24 Bulk Cooking Oil Producers to Start Distribution

TEMPO.CO, Jakarta - Industry Minister Agus Gumiwang Kartasasmita sent warning letters to 24 producers who have not distributed subsidized bulk cooking oil between March 16 and 31.

"To the 24 companies that have received the warning letter, the Ministry of Industry hopes [they will] expedite the distribution of Subsidized Bulk Cooking Oil as assigned through the Registration Number of each company," Agus Gumiwang said in a statement in Jakarta, Tuesday, April 12.

According to the minister, faster distribution of Subsidized Bulk Cooking Oil is important as the demand is projected to increase, especially before Idul Fitri.

Industry Minister's Regulation no.8/2022 stipulated sanctions for producers of palm cooking oil that do not heed the warnings. The penalties range from written warnings, fines, to suspension of business licenses.

The same goes for producers, distributors, and retailers who repackage subsidized cooking oil into branded items or sell them to medium and large industries as well as exports.

The Ministry's Bulk Cooking Oil Information System (SIMIRAH) showed that the distribution progress had reached 6,060 tons per day as of April 11, an increase from March's average of 4,050 tons per day. "We give our greatest appreciation to the [palm cooking oil] industry/companies involved," said Agus.

Of the 81 palm cooking oil factories in Indonesia, 75 factories are registered in the Subsidized Bulk Cooking Oil supply program, while the other six did not meet the requirements to participate in the program.

Read: Jokowi Wants Cooking Oil BLT Distributed Before Eid

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