[Kabar-indonesia] 22 RI Biz/Econ Reports: Astra Sees Lower '06 Net Profit; BI Forecast; JSX Lower

[JoyoNews at aol.com]

22 Reports:

- Indonesia's Astra sees lower 2006 net profit
- Indonesia VP: Starting New Businesses
  Must Become Easier
- update: Bank Indonesia:'08 Economy Likely 
  To Expand By Around 7.0%
- Indonesian Shares End Lower On Correction; 
  Telecoms Fall
- Indonesia Rupiah Ends Lower; Central 
  Bank Expects Rebound
- Bank Indonesia to delay 'single presence'
  policy implementation to 2010 - report
- Indonesia plans debt swap next week-
  fin ministry
- Indonesia's Bulog sets Sept. 18 rice
  tender deadline
- JP: CSR forum wins positive response 
  from businesses
- Singapore's Unifiber still wants to buy
  Indonesia's Kiani
- Stock alert - Singapore's Unifiber falls 
  on report it will no longer buy Kiani
- Research alert-Credit Suisse cuts
  Gudang Garam to underperform
- Indonesia's Bimantara unit sells
  168 mln usd bond
- Indonesia's NISP sets aside 
  US$222 mln for car loans this year
- Indonesia's Intirub and Mega Safe 
  halt production as costs surge
- Stock alert - Indonesia's Bimantara 
  higher on units' IPO, bond sale
- Indonesia's Asuransi Bakrie posts 
  US$14 mln in premium income
- Indonesian property firm to offer 
  500 bln rupiah bonds
- Indonesia adjusts palm oil base 
  export prices
- Indonesia Astra Agro:'06 CPO 
  Output May Rise 13% On Yr
- Indonesian palm oil falls ahead 
  of weekend
- Indonesia banned from exporting
  blue fin tuna

Indonesia's Astra sees lower 2006 net profit

BOGOR, Indonesia, Sept 8 (Reuters) - Indonesia's top automotive distributor, 
PT Astra International Tbk, expects to post a lower net profit this year 
compared 
to 2005 as the auto sector remains weak, the company's head said on Friday.

But Michael D. Ruslim, Astra's president director, told reporters that 
Indonesian vehicles sales could grow by 10 percent next year, while the motorcycle 
market should recover to levels in 2005, when automotive sales hit historic 
highs.

He also said the company was interested in entering the lucrative mining 
sector, although Astra would keep the automotive sector as its core business.

Sales of cars and trucks in Southeast Asia's largest economy dropped by 
nearly half in the first seven months of the year as the industry continued to feel 
the heat from last year's sharp fuel price hikes.

Astra, owned by Singapore's Cycle & Carriage Ltd, controls around half of 
Indonesia's vehicle sales and saw its sales volume decline by around 37 
percent in the first seven months of this year.

Analysts polled by Reuters Estimates expect Astra to post a net profit of 
4.05 trillion rupiah ($445.3 million) for this year, down from 5.5 trillion made 
last year, while sales revenue down to 52.7 trillion rupiah from 61.2 trillion.

Net profit at Astra, the fifth largest company on the Jakarta stock exchange 
with a market capitalisation of $5.3 billion, fell 38.5 percent to 1.86 
trillion rupiah in the first half, with sales revenue down by 13.2 percent to 25.9 
trillion rupiah.

Indonesia's automotive industry association expects sales to recover to 
500,000 units next year from 330,000-350,000 units forecast for this year, as 
interest rates fall gradually.

Motorcycle sales are expected to fall by between 20-25 percent in 2006.

Vehicle sales hit a record high of 533,910 units in 2005, while motorbike 
sales topped five million that year, helped by low interest rates and cheap loans.

Ruslim said the company was keen to expand into other areas, including 
mining, while retaining autos as its core operation.

"Automotive is still an important business. Astra will concentrate in its 
automotive business, but in the future it is likely that we may enter the mining 
business," he said.

When asked if the company was interested in buying coal mines being offered 
for sale by Indonesia's PT Bumi Resources Tbk <BUMI.JK>, he said: "Basically we 
are interested, but the size is too big."

Bumi had planned to sell its two mines, PT Kaltim Prima Coal and PT Arutmin 
Indonesia, to Borneo Lumbung, an affiliate of Indonesian bank Renaissance 
Capital for $3.2 billion.

But the plan was scrapped after price and procedural disputes, although Bumi 
has since said it plans to sell a minority stake in the mines, which account 
for 37 percent of Indonesia's coal exports. ($1=9,095 rupiah) 

------------------------------

Indonesia VP: Starting New Businesses Must Become Easier

JAKARTA, September 8 (Dow Jones)--Indonesian Vice President Jusuf
Kalla said Friday he would work to streamline the process of starting
new businesses, following a recent report from the World Bank that
ranks Indonesia as a difficult place to set up business.

The report - released earlier this week by the World Bank's investment
arm, International Finance Corp. - said that due to bureaucratic and
other obstacles, it takes entrepreneurs an average of 97 days to start
a business.

Although the figure marked an improvement from 151 days recorded in
the last such survey, it still puts Indonesia well behind Thailand's
average of 33 days and Australia's average of two days.

Kalla said the approval process for business investment needed to be
simplified, in part to attract more foreign investors to Indonesia.

"Last year, the approval process was sped up," he said. "Now,
(investors) are saying they want it sped up even more."

Kalla said he hoped to move the average start-up time down to 50 days
by next year, by partially deregulating the investment approval
process and improving bureaucracy. He didn't, however, specify any
detailed measures.

The report, entitled "Doing Business 2007," also ranked Indonesia 135
out of the 175 economies surveyed for their overall business
environments, marking a decline from 131 in 2006.

------------------------------------------------------------

Bank Indonesia:'08 Economy Likely To Expand By Around 7.0%

BANDUNG, Indonesia, September 8 (Dow Jones)--Indonesia's economy 
is likely to maintain its growth momentum at a rate of about 7% and
single-digit inflation in 2008, Bank Indonesia spokesman Budi Mulia
said Friday.

"For 2008 we expect gross domestic product growth at 7.0%, plus or
minus one (percentage point), and (end-2008) inflation at 5.0%, plus
or minus one (percentage point), Mulia told reporters at a central
bank seminar. 

Bank Indonesia formulates its macroeconomic projections separately
from the government.

The central bank's optimistic 2008 forecast comes even as internal and
external constraints have begun weighing on the 2006 expansion
targets.

The government has forecast 2006 and 2007 growth of 6.2% and 6.3%
respectively, which would outpace the 5.6% in 2005.

However the 4.97% on-year GDP rise in the first half of 2006 suggests
the full-year target will be difficult to achieve without a
significant uptick in investment and fiscal spending.

To achieve the 2008 target, the investment climate "must be improved
to attract local and foreign investors," Mulia said.

Policy-makers have also warned repeatedly that a sudden spike in
global crude oil prices or a slowdown in the U.S. economy could
undermine growth forecasts.

Last month, the energy minister, Purnomo Yusgiantoro, said a rise in
oil prices could prompt a recalculation of 2007 budget figures,
including GDP.

------------------------------------

Indonesian Shares End Lower On Correction; Telecoms Fall

JAKARTA, September 8 (Dow Jones)--Indonesian shares ended lower
Friday, with further correction in telecommunication and resources
blue chips keeping the main index in negative territory, dealers said.

However, a lower interest rate outlook spurred buying in property
stocks, limiting losses of the main index, they added.

"It was typical weekend trade...Many investors consolidated their
positions," said a trader with Paramitra Securities.

The Jakarta Stock Exchange Composite index ended down 3.890 points, or
0.3%, at 1466.576.

Gainers, however, led decliners 71 to 58, with 77 shares unchanged.

Volume was 1.9 billion shares valued at IDR1.7 trillion, compared with
1.6 billion shares valued at IDR1.4 billion Thursday.

Bellwether Telekomunikasi Indonesia dropped 0.6% to IDR7,950 after its
American depository receipts in New York lost 1.5% to $34.70,
correcting gains from earlier this week. Telkom's rival Indosat lost
1.6% to IDR4,550 on fears it would report poor third-quarter earnings
on flat revenue from its cellular services.

Property companies Surya Inti Permata and Dharmala Intiland gained 26%
to IDR295, and 7.9% to IDR205, respectively, on expectations of
improved 2006 housing sales.

Gas distributor Gas Negara lost 1.2% to IDR12,850 on concerns that the
government has to delay its plan to sell a 5.31% stake in the company
due to an unfavorable market.

Looking ahead, dealers expect shares to trade higher Monday on a
rebound after falling in the previous two sessions.

----------------------------------------------------------------

Indonesia Rupiah Ends Lower; Central Bank Expects Rebound

JAKARTA, September 8 (Dow Jones)--The Indonesian rupiah ended lower
Friday on the back of a flurry of unsubstantiated rumors of a looming
shuffle in the Cabinet of President Susilo Bambang Yudhoyono, dealers
said.

'The dollar gained as market participants squared their positions and
then dollar purchases accelerated when the Cabinet reshuffle rumors
started up after noon,' a dealer at a foreign bank said.

Dealers said the market was particularly sensitive to such rumors due
to the relative absence of other domestic cues.

Bouts of baseless rumors of a possible Cabinet shuffle have occurred
in recent weeks ahead of the one-year anniversary of the Dec. 7, 2005,
shuffle when Yudhoyono replaced his top economic ministers.

But analysts say that any Cabinet restructuring is highly unlikely
until at least after the Muslim fasting month of Ramadan, which will
conclude at the end of October.

The dollar closed at IDR9,130 versus Thursday's close of IDR9,100.

Bank Indonesia indicated Friday that the recent softening in the
rupiah against the U.S. dollar is a strictly temporary phenomenon.

'I hope the (dollar) will remain stable and...will hit IDR9,000 or
lower...by the end of the year,' Bank Indonesia Deputy Governor Aslim
Tadjuddin told reporters.

Tadjuddin attributed his projection of a more robust rupiah to
'fundamental factors,' including economic growth, inflation and the
balance of payments.

However, that kind of strengthening would face fierce opposition from
Vice President Jusuf Kalla, who has lobbied hard for a dollar value of
around IDR9,500 to support the country's export sector.

Dealers said the dollar would likely trade in an IDR9,080 to IDR9,145
range on Monday.

-------------------------------------

Bank Indonesia to delay 'single presence' 
policy implementation to 2010 - report

JAKARTA, September 8 (XFN-ASIA) - The central bank will delay the
implementation of the so-called "single presence" bank policy to 2010
from the nitial target of 2008, Kompas daily reported quoting Bank
Indonesia governor Burhanuddin Abdullah as saying.

"What is certain is that the single presence policy has to be
implemented at the latest by 2010. There is still enough time for bank
owners (to prepare for it)," Abdullah said.

Bank Indonesia has been contemplating implementing for some time now
the concept of one shareholder being allowed to control only one bank.
The policy will also require banks that share the same owner to merge.

Given the wide range of reactions it has received from the banking
industry, ranging from those in favor to those strongly opposed to it,
the central bank has decided to delay the issuance of a ruling on the
policy.

------------------------------------------------------------

Indonesia plans debt swap next week-fin ministry

JAKARTA, September 8 (Reuters) - Indonesia plans to swap short-term
rupiah government bonds into 12-year debt on Tuesday as part of
efforts to smooth out repayment schedules, the finance ministry said
in a statement on Friday.

The finance ministry also said that it will hold its next regular
monthly bond auction on Sept. 19.

Under the debt swap scheme investors will be able to switch government
bonds maturing between 2007-2009 into 12-year debt FR0038
<IDGFR0038=SU> through an auction.

Analysts said demand from investors was likely to remain strong due to
expected further cuts in domestic interest rates.

"Demand from investors is likely to be strong. It would be better to
swap bonds into longer maturity debt now, before the central bank cuts
interest rates further," said debt market analyst Budi Susanto of
Danareksa Sekuritas.

The government has recently stepped up efforts to ease the cost of
servicing its debt burden, which is expected to peak in the next three
years, partly by taking advantage of strong foreign demand for the
bonds.

Foreign investors have bought a substantial amount of Indonesian
government bonds this year, attracted by one of Asia's highest bond
yields and the prospect of lower domestic interest rates.

Rating agencies, however, still rate Indonesian bonds below investment
grade, or junk status. Standard and Poor's ratings Services, for
example, rates long-term Indonesian local currency government bonds
"BB+" - one notch below investment grade.

--------------------------------------------------------------

Indonesia's Bulog sets Sept. 18 rice tender deadline

JAKARTA, September 8 (Reuters) - Indonesian state logistics agency
Bulog said on Friday it had set a Sept. 18 deadline for bids on a
210,000 tonne rice import tender.

Indonesia issued a rice import permit to Bulog on Sept. 4 to help
secure stocks that have fallen to 350,000 tonnes, well below the
safety level of 1 million tonnes, due to a string of natural
disasters.

The grains are expected to enter 10 ports across the country between
Oct. 1 and Nov. 15, and will only be used for emergency purposes and
to stabilise prices.

Bulog said in a newspaper advertisement it wanted to buy 15-percent
broken grade rice from Vietnam or Thailand on a cost and freight
basis.

The agency said bidders had to submit supporting documents between
Sept. 11-12 while the deadline for submitting sealed bids to Bulog is
between 0830-0930 (0130-0230 GMT) on Sept. 18.

Rice imports are allowed if the government's stocks in Bulog fall
below the safety level of 1 million tonnes or local prices of medium
grade rice rise above 3,550 rupiah ($0.390) a kg.

The imported grain cannot be sold for public consumption but is set
aside as a buffer stock to curb inflation.

At the moment, local prices for medium grade rice at the distributor
level are between 3,800 and 4,000 rupiah a kg.

Last September, Bulog was allowed to import up to 250,000 tonnes of
rice from Vietnam, but the agency only bought some 152,000 tonnes.

------------------------------------

The Jakarta Post
September 8, 2006

CSR forum wins positive response from businesses 

Andi Haswidi, The Jakarta Post, Jakarta

Corporate social responsibility (CSR) is a concept that remains alien not 
only among the general public, but also among many businesspeople here. Not that 
they are unwilling to learn.

There was an obvious enthusiasm among the some 300 top executives 
participating in the first day of a two-day national conference on CSR on Thursday in 
Jakarta. 

"We're proud to know that the event has inspired the businessmen present here 
to hold impromptu discussions tomorrow (Friday) on the issue," said Yanti 
Koestoer, executive director of the event's organizer, Indonesia Business Link. 

The IBL is a non-profit organization that focuses on promoting CSR among 
corporations. 

Acknowledging that in Indonesia CSR is mainly associated with community 
development programs, the conference stressed that a good CSR program must also 
take into account such aspects as economic, social, environmental, legal and 
business ethics. 

Titled "Responsible Business is Good Business", the event highlighted that 
CSR should not be seen as an additional burden for corporations, but a key part 
of corporate strategy in responsible business operations. 

"Apparently, every company has its own definition of CSR. But we have so many 
experienced speakers at this conference, with whom participants can ask 
questions and discuss their ideas of CSR," Yanti said. 

When one participant asked panelists how companies should respond to a 
community's high expectations, Harry Miarsono, PT Kaltim Prima Coal (KPC)'s external 
affairs and sustainable development manager, replied that at times, companies 
must take the initiative without the backing of government. 

He used the KPC as an example. He said when the company first arrived at its 
current production area, it had to build every piece of infrastructure 
starting virtually from scratch, including roads. 

"There was no government participation. Basically, we were the government. We 
established everything. The government stepped in maybe around five years 
ago. 

"So, in terms of responding to the high expectations, don't promise, just 
walk the walk," he told the forum. 

Also speaking at the conference and sharing their years of experience with 
corporate social responsibility were Kompas Gramedia Group CEO Jakob Oetama and 
Newmont Pacific Nusantara president director Noke Kiroyan. 

Though the two come from entirely different business sectors, they share a 
similar view that CSR benefits not only the community, but also the business 
world. 

"CSR is a must," Jakob said, while Noke concluded that CSR can benefit all 
companies. 

Representing the government, Coordinating Minister for the Economy Boediono 
said he was aware of some polarization among businesspeople and the business 
community itself in defining CSR. 

He added: "We now live in glass houses where no one can hide his or her 
behavior for too long from the view of everyone else. People will think twice or 
more before they commit questionable deeds." 

-------------------------------------

Singapore's Unifiber still wants to buy Indonesia's Kiani

SINGAPORE, September 8 (XFN-ASIA) - United Fiber System Ltd (Unifiber)
is still keen on acquiring Indonesia's PT Kiani Kertas and is prepared
to pay the 201 mln usd the pulp mill owes Bank Mandiri once the deal
is closed, Unifiber said.

An Indonesian newspaper reported today that Unifiber had dropped its
plan to buy Kiani because the process was taking too long.

'Our interest in acquiring the mill has not changed,' Unifiber
chairman and chief executive Sven Edstrom said in a written statement.

Edstrom said Unifiber had talked to Bank Mandiri, Kiani's the largest
creditor, about paying off the debt.

He said Unifiber continued to run the pulp mill under an operational
management agreement with the owners of Kiani.

-------------------------------------------------------------

Stock alert - Singapore's Unifiber falls on report it will no longer buy Kiani

SINGAPORE, September 8 (XFN-ASIA) - United Fiber System Ltd (Unifiber)
was lower after a newspaper reported that the company has dropped its
plan to acquire 100 pct of Indonesian pulp mill PT Kiani Kertas
because the process was taking too long, dealers said.

In early trading, Unifiber was down 0.005 sgd or 2 pct at 0.245, on
volume of 1.65 mln shares.

--------------------------------------------------------------

Research alert-Credit Suisse cuts Gudang Garam to underperform

JAKARTA, September 8 8 (Reuters) - Credit Suisse has downgraded
Indonesia's largest tobacco company, PT Gudang Garam Tbk , to
underperform from neutral due to a weak cigarette market.

It also said in a report it had cut Gudang Garam's target price to 10,700 
rupiah

---------------------------------------

Indonesia's Bimantara unit sells 168 mln usd bond

JAKARTA, September 8 (XFN-ASIA) - Diversified conglomerate PT
Bimantara Citra said its 99.99 pct-owned unit PT Media Nusatara Citra
(MNC), has issued a 168 mln usd bond to undertake debt refinancing and
for working capital.

Bimantara said in a statement to the Jakarta Stock Exchange that the
bond matures in 2011 and will carry an interest rate of 10.75 pct.

MNC is a media company with operations in television broadcasting,
radio and print.

---------------------------------------------------------------

Indonesia's NISP sets aside US$222 mln for car loans this year

JAKARTA, September 8 (Asia Pulse/Antara) - Publicly listed Bank NISP
(JSX:NISP) said it will set aside up to Rp2 trillion (US$222 million)
to finance the purchases of cars and motorcycles this year.

The bank will cooperate with car makers and financing firms in
providing loans for the purchase of cars, bank director Muliadi Hardja
said.

Muliadi said the amount of loans provided by the bank for motor
vehicles are still smaller than that for housing.

Housing loans account for around 72.29 per cent of consumer credits
provided by the bank, which is controlled by OCBC Overseas Investment
Pte Ltd.

He said consumer loans made up 31.2 per cent of the bank's total loans in 
2005.

----------------------------------------------------------------

Indonesia's Intirub and Mega Safe halt production as costs surge

JAKARTA, September 8 (Asia Pulse/Antara) - Tire makers PT Intirub and
PT Mega Safe Factory have stopped operation as a result of a surge in
basic material prices especially rubber, back carbon and steel.

Chairman of the association of tire companies (APBI) Aziz Pane said
the closure of the two factories signaled the collapse of the
country's tire industry.

The country's tire industry was badly jolted by fuel price hikes late
last year, resulting in an increase in the prices of basic materials,
Pane said.

Intirub and Mega Safe were forced to stop operation as they could not
continue facing heavy losses, he said.

Intirub, which began operations in 1955, already ended production on
August 26 and last month 600 of its workers staged a protest over
unpaid salaries.

Mega Safe in Semarang, Central Java, was established in 1964.

-------------------------------------------------------------

Stock alert - Indonesia's Bimantara higher on units' IPO, bond sale

JAKARTA, September 8 (XFN-ASIA) - Diversified conglomerate PT
Bimantara Citra was higher, extending its recent rallies, ahead of the
planned listing of its unit PT Indonesian Air Transport next week,
dealers said.

Bimantara was up 75 rupiah or 3.37 pct at 2,300.

"I think sentiment on Bimantara has been boosted by some corporate
actions like the IPO," a dealer with a local brokerage said.

He said another supporting factor is the news that Bimantara unit PT
Media Nusantara Citra has just sold a 168 mln usd bond as part of a
debt refinancing move and to provide working capital.

--------------------------------------------------------------

Indonesia's Asuransi Bakrie posts US$14 mln in premium income

JAKARTA, September 8 (Asia Pulse/Antara) - Life insurance PT Asuransi
Jiwa Bakrie reported Rp126 billion (US$14 million) in premium income
in the first seven months of this year, its President Timoer Soetanto
said.

Soetanto said its net profit was around Rp9 billion.

He said premium from individual policy holders contributed 70 per cent
to the total premium income and group policy holders accounted for 30
per cent.

In the whole of this year the company targets to chalk up Rp200
billion in premium income or an increase of 30.72 per cent from last
year.

The company had risk based capital (RBC) of 135 per cent by July and
it is expected to rise to 150 per cent by the end of this year well
safe above the minimum level of 120 per cent set by the finance
ministry.

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Indonesian property firm to offer 500 bln rupiah bonds

JAKARTA, September 8 (Reuters) - Indonesian property firm PT Bumi
Serpong Damai (BSD) said on Friday it plans to raise 500 billion
rupiah ($54.98 million) from a bond issue to expand its business and
repay its debts.

The company has not yet set the coupon rate for the five-year fixed
rate bond, which will be handled by PT Danareksa Sekuritas, PT
Sinarmas Sekuritas and PT Recapital Securities.

BSD said it would use 200 billion rupiah from the issue to repay its
debts while the rest will be used for business expansion and working
capital.

The company, which owns and operates a major residential complex west
of Jakarta, booked a net profit of 43.4 billion rupiah in 2005, nearly
double the previous year. Its sales revenue soared to 938.5 billion
rupiah from 451.3 billion over that period.

--------------------------------------------------------------

Indonesia adjusts palm oil base export prices

JAKARTA, September 8 (Reuters) - Indonesia has raised the base exports
prices of most palm oil products to bring them in line with
international prices, the trade ministry said on Friday.

The new prices will be effective from Sept. 10 to Oct. 9.

The base export price of crude palm oil will be raised to $393 a tonne
from $355 in August, while refined, bleached and deodorized (RBD) palm
oil's export price is up to $416 a tonne from $385.

The base export price of RBD palm olein, used as cooking oil, will
also be raised to $426 a tonne from $395 last month, while crude palm
olein has been increased to $416 a tonne from $385.

Palm kernel's base export price is unchanged at $73 a tonne.

Base prices are used to calculate the amount of tax paid by exporters.

Crude palm oil is subject to a 1.5 percent export tax, while other
palm oil derivative products are subject to a 0.3 percent export tax.
Palm kernel is subject to a 3 percent export tax.

Indonesia is the world's second biggest exporter and producer of palm
oil after Malaysia.

Indonesia has forecast palm oil output will likely rise to 16 million
tonnes in 2007, from an estimated 14.7 million tonnes this year.

Domestic consumption, however, averages 3.7 million tonnes a year or
25 percent of the country's total palm oil output.

The trade ministry will keep the coal base export price unchanged at
$34.83 per tonne. The export tax for coal is 5 percent.

--------------------------------------------------------------

Indonesia Astra Agro:'06 CPO Output May Rise 13% On Yr

JAKARTA (Dow Jones)--Indonesia's Astra Agro Lestari (AALI.JK) expects
to produce around 965,000 metric tons of crude palm oil in 2006, an
increase of around 13% on year, a statement from a company official
said.

Astra Agro's total capital expenditure will be between IDR550 billion
and IDR600 billion, said a statement from the company's chief
financial officer, Juli Saftari, released Friday.

Astra Agro is the largest listed plantation company in terms of assets
and one of the country's best-performing blue chip stocks.

The company will spend around IDR215 billion on planting and IDR235
billion on expanding existing processing plants and building new ones,
the statement said.

The remainder will go towards miscellaneous activities, it said,
without providing further details.

Astra Agro sold 540,836 tons of crude palm oil in the first seven
months of this year, said the statement.

The company sold 360,084 tons in the local market and exported the rest.

Astra Agro is also planning to diversify into rubber and biodiesel
production, the statement said, without elaborating.

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Indonesian palm oil falls ahead of weekend

JAKARTA, September 8 (Reuters) - Indonesian palm oil prices traded
lower on Friday, tracking falls in Malaysian palm oil futures and with
players reluctant to take up positions ahead of the weekend and key
data next week, traders said.

There were no auction by the state marketing centre that sells palm
oil from state plantations, reflecting slack trading interest.

The centre has failed to sell palm oil in two export tenders this week
due to low bids.

In North Sumatra's Medan, the main port for palm oil exports, crude
palm oil traded lower at 4,268 rupiah ($0.469) per kg compared with
4,275 rupiah on Thursday, with some 500 tonnes of crude palm oil
changing hands.

"The market is usually quiet on Friday. Players are also in the
wait-and-see position for the Malaysian data next week," A Medan-based
trader said.

The Malaysian Palm Oil Board is due to release August output and
stocks data on Monday.

The trder said the market shrugged off a weakening of the rupiah
against the dollar.

"The rupiah is weakening against the dollar, which usually supports
the prices. But losses in the Malaysian market have made prices react
otherwise."

Another trader in Medan said increases in palm oil base export prices
were likely to boost local consumption in the weeks ahead as they
makes exports more expensive.

"Sellers will turn to local refineries to sell their palm oil as the
local prices are more attractive," he said.

Jakarta raised the base export price of crude palm oil to $393 a tonne
from $355 in August, while the export price of refined, bleached and
deodorised (RBD) palm oil rose to $416 a tonne from $385.

The base export price of RBD palm olein, used as cooking oil, will be
raised to $426 a tonne from $395 last month, while crude palm olein
has been increased to $416 a tonne from $385.

Palm kernel's base export price is unchanged at $73 a tonne. The new
prices will be effective from Sept. 10 to Oct. 9.

Crude palm oil is subject to a 1.5 percent export tax, while other
palm oil derivative products are subject to a 0.3 percent export tax.
Palm kernel is subject to a 3 percent export tax.

On the export front in Medan, sellers offered crude palm oil for
September shipment at $440 a tonne, without any bids reported.

October shipments were quoted at $435-440 a tonne with bids seen at $430.

In Jakarta, olein traded lower at 4,750 rupiah per kg, compared with
4,825 rupiah on Thursday.

-----------------------------------------------------

Indonesia banned from exporting blue fin tuna

JAKARTA, September 8 (Asia Pulse/Antara) - Indonesia is not allowed to
export blue fin tuna as the country has not gained membership of the
Commission for the Conservation of Southern Bluefin Tuna (CCSBT).

Restrictions are also imposed on catching blue fin tuna in Indonesia,
rendering a potential loss in exports to the country, an official
said.

The ban came when the price is good at US$25 to US50 per kilogram in
the world market, secretary general of the maritime and fisheries
ministry Victor Nikijuluw said here yesterday.

Blue fin tuna are known to lay eggs and hatch them in the sea off
southern coast of Bali and Lombok in the Indian Ocean before the young
fish move to the open sea, Victor said.

Indonesia hopes to become member of CCSBT next year to join Australia,
Malaysia, Vietnam, Japan, Thailand and China, which have already
gained membership of the organization.

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Joyo Indonesia News Service
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