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Govt to resolve cooking oil compensation by October
Cooking oil producers and retailers may finally see compensation payouts by October, the deadline the Trade Ministry has set to finally settle the government's long overdue debt after years of pointing fingers.
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Trade Minister Zulkifli Hasan visits Klender traditional market in East Jakarta on June 22 to check the prices of basic commodities, especially cooking oil.
(Courtesy of /Trade Ministry)
T
he Trade Ministry has finally provided clarity on the long-delayed compensation payouts to businesses that were caught in the middle of the cooking oil policy flip-flop.
Domestic Trade Director General Isy Karim said on Monday that the ministry was in the middle of preparing the payment process, but assured the matter would be resolved within four months.
“It will be before October. We will certainly work on it as soon as possible. I don’t want to make promises and it’s in the middle of the process, still waiting for a meeting,” Isy was quoted as saying by Kompas.com.
He went on to say that the ministry would pay compensation according to the auditing results of state-owned surveyor PT Sucofindo.
However, Sucofindo said the government owed Rp 474.8 billion (US$29 million) to businesses affected by the policy, but cooking oil producers have suggested the final sum could be more.
Read also: Cooking oil producers lost 'billions of rupiah' from policy flip-flop: Association
The Business Competition Supervisory Commission (KPPU) projected last May that the government could owe businesses around Rp 1.1 trillion, based on the accounts of hundreds of producers and retailers.
