Jakarta –
The oleochemical factory reportedly stopped production due to domestic market obligation (DMO) and domestic price obligation (DPO) regulations for palm oil.
This was conveyed by the Director of HRD and Legal of PT Sumi Asih, Markus Susanto when contacted by detikcom, Sunday (13/3/2022).
Markus said the factory, which is located in Tambun, Bekasi, West Java, has laid off 350 of its employees.
“In detail, 300 employees are working in the factory and 50 employees at the head office. We have put them home for three weeks. Because they were laid off, they held a demonstration,” he said.
Markus said that apart from the factory, five other factories were rumored to have the same fate. So in total, he said, there were 6 factories that stopped production.
“The five companies are cooking oil factories. Sumi Asih is the olechemical company. Had information about PT Indo Sultan (Jaya) which produces soap, but it needs more confirmation, is it still running or not,” he said.
He predicts that in the future more companies will close due to DMO and DPO. Moreover, DMO will be increased from 20% to 30%.
“I’m sure if this is left for one more month, let alone fasting and Eid, other companies will follow, there will be mass layoffs,” he said.
According to Markus, the closed companies will have a negative domino effect. For example, not producing Sumi Asih, for example, could disrupt other companies that work with Sumi Asih.
Markus revealed, because it has been three weeks without production, his party also cannot export. “We as Indonesians are really ashamed, our credibility has been destroyed internationally. I can’t export for a month now. My buyers in China, the Philippines and in Europe want to sue in arbitration,” he said.
Watch Videos “The Trade Minister Reveals the Cause of Cooking Oil So Rare and Expensive“
[Gambas:Video 20detik]
–
