Global CPO (Crude Palm Oil) Change Impact Analysis About Domestic Cooking Oil Price Stability

Clara Sati Dwi Anggraini; Riko Setya Wijaya; Putra Perdana

doi:10.63922/ijebir.v4i03.1813

Clara Sati Dwi Anggraini Department of Development Economics, Faculty of Economics and Business, National Development University "Veteran" East Java
Riko Setya Wijaya Department of Development Economics, Faculty of Economics and Business, National Development University "Veteran" East Java
Putra Perdana Department of Development Economics, Faculty of Economics and Business, National Development University "Veteran" East Java

DOI: https://doi.org/10.63922/ijebir.v4i03.1813

Keywords: Global CPO prices, Harga Minyak Goreng Domestik, CPO production volume, inflation, price stability

Abstract

Cooking oil is one of the main needs of the Indonesian people, while CPO
(Crude Palm Oil) is not only the main raw material for cooking oil, but also has a
strategic role in the national economy. In recent years, CPO prices have fluctuated
sharply due to several factors that have caused domestic cooking oil prices to rise,
triggering anxiety, panic buying, and reducing the purchasing power of low- and
middle-income people. Therefore, this study aims to analyze the influence of global
CPO prices, inflation rates, and domestic CPO production volume on the stability of
cooking oil prices in the domestic market. What distinguishes this study from the
previous research is that this study not only focuses on global CPO prices with
cooking oil prices but also integrates the variables of CPO production volume and
inflation. The results show that global CPO prices and CPO production volume have
a significant effect on domestic cooking oil prices while inflation does not have a
significant effect on domestic cooking oil prices.

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