There are companies that control 500 hectares of palm oil, but their offices are overseas

KOMPAS.com – Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan said he would conduct an audit of oil companies Palm oil and ensured to establish a head office in Indonesia.

Luhut admitted that President Jokowi had asked him to solve the problem of cooking oil in Java and Bali.

“As soon as the President asked me manage cooking oil, people think just cooking oil. No. I went straight to the top. You’ve read in the media, we have to audit all palm oil,” he said, quoted from Between, Thursday (26/5/2022).

According to Luhut, the audit was conducted to identify and identify existing palm oil businesses. This includes the area of ​​the garden, production to the head office.

Read also: Does Luhut Really Have a Palm Oil Business?

“I reported to the President, ‘Sir, headquarters(Headquarters) must all move here’,” he said.

Luhut said the head office of palm oil companies must be in Indonesia in order for them to pay taxes. The reason is that there are still many palm oil companies whose head offices are abroad, causing Indonesia to lose potential income from taxes.

“Imagine he has 300-500 thousand (hectare), headquarter-abroad, he pays his taxes abroad. Not gonna happen. You have to move your headquarters to Indonesia. (You can’t. You have to move your head office to Indonesia),” he said.

Luhut also responded to the many ridicule about his new role and task in dealing with the cooking oil problem.

Read also: Does Luhut Really Have a Palm Oil Business?

Luhut assessed that the problem of cooking oil is not just who handles it. The most important thing, according to him, is the main goal of solving the problem, namely so that the supply and price can be reached again by the community.

“That’s what’s important to think about. It’s not just who handles it, it takes care of it. Who wants to handle it, the important thing is that it’s done. For me, remember that, stick to the goal,” concluded Luhut.

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