MARKET DEVELOPMENT
Spike in cooking oil prices hits Indonesia as fasting month starts
Spike in cooking oil prices hits Indonesia as fasting month starts
04.04.2022 (www3.nhk.or.jp) - A spike in the price of cooking oil has hit Indonesia, where the Islamic fasting month started on Sunday. Behind the price hike is an increasing global demand of palm oil produced in Asia amid concerns of a shortage in the supply of sunflower oil, which is made mainly in Ukraine and Russia.
More than 80 percent of Indonesia's population are Muslims. During the month of Ramadan, they only eat and drink between sundown and sunup.
Before sunset on Sunday, stalls in Jakarta were crowded with customers buying deep-fried food.
But this year round, many shops have raised prices or reduced the size of their merchandise.
That's because the price of cooking oil has risen up to 70 percent from last year.
There have been protests in Indonesia demanding a reduction in the price of cooking oil. The government has decided to provide subsidies to help low-income people.