23 Februari 2022 – PT SMART Tbk is concerned about inaccurate media reports regarding the allocation of cooking oil in our bulking station in Makassar. To clarify the situation:
- PT SMART Tbk is committed to supporting the Indonesian Government’s (GoI) efforts to ensure affordable and good-quality cooking oil for its people.
- RBD-Palm Olein (olein) shipment to our bulking in Makassar in February is intended for industrial and Domestic Market Obligations (DMO). There is no manipulation, as alleged in the media.
- Every month our bulking station in Makassar receives shipments of Olein. These shipments are intended for diverse uses including industrial needs and consumer cooking oil for Makassar and the surrounding area.
- In support of the Government’s DMO directive we prioritise fulfilling the need for household bulk cooking oil.
- The Company has only claimed DMO distribution after the oil has been sold as DMO. No false claims have been made.
- We have requested a commitment from our buyers/distributors to ensure that the price of cooking oil that reaches the final consumer is in accordance with the Highest Retail Price (HET) as determined by the Ministry of Trade.
- The company is committed to supporting our customers in Makassar and surrounding for their cooking oil needs, both for industrial and household uses.
- We understand the importance of cooking oil for the industrial sectors related to Indonesia’s food security and the sustainability of the business itself.
- We are also aware that cooking oil is an essential part of the Indonesian household.
- Both play an important role for the welfare of the Indonesian people.
As an Indonesian palm oil producer, we will continue to support the GoI’s DMO programme.
About Sinar Mas Agribusiness and Food
Sinar Mas Agribusiness and Food is operating under Golden Agri-Resources (GAR) as one of the leading palm oil plantation companies with a total planted area of 536,572 hectares (including plasma smallholders) as at 30 September 2021, located in Indonesia. It has integrated operations focused on the production and distribution of an extensive portfolio of palm-based products. Founded in 1996, Sinar Mas Agribusiness and Food was listed on the Singapore Exchange in 1999 and has a market capitalisation of US$2.2 billion as at 30 September 2021. Flambo International Limited, an investment company, is currently GAR’s largest shareholder, with a 50.52 percent stake. Sinar Mas Agribusiness and Food has several subsidiaries, including PT SMART Tbk which was listed on the Indonesia Stock Exchange in 1992.
Sinar Mas Agribusiness and Food is focused on responsible palm oil production. In Indonesia, its primary activities include cultivating and harvesting of oil palm trees; processing of fresh fruit bunch into crude palm oil (CPO) and palm kernel; refining CPO into value-added products such as cooking oil, margarine, shortening, biodiesel and oleo-chemicals; as well as merchandising palm products globally. Sinar Mas Agribusiness and Food’s products are delivered to a diversified customer base in over 70 countries through its global distribution network with shipping and logistics capabilities, destination marketing, on-shore refining and ex-tank operations in many countries. Sinar Mas Agribusiness and Food also has complementary businesses such as soybean-based products in China, sunflower-based products in India, as well as sugar businesses.
For more information, please contact:
Corporate Communications Officer