2/23/2005 Asia Pulse JAKARTA - Indonesia's exports of crude palm oil(CPO) to India are expected to fall short of expectations after the latterraised import duties on the commodity to 80 per cent, up from 65 per centearlier.

The association of the palm oil companies (Gapki) said India increased theimport duty to protects its farmers.

Gapki chairman Derom Bangun said with the increase in the import duty,Indonesia's exports of CPO to that country is predicted to fall short ofexpectation.

Earlier Bangun predicted CPO exports from the country to India will reach1.2 million tons this year, up from the usual 960,000 tons a year as aresult of its recent decision to abolish the beta carotene requirement.

Earlier Indian importers were allowed only to import CPO with a betacarotene content of at least 500 ppm, but the restriction was removedearlier this month.

India has been one of the largest markets for Indonesia's CPO.

Bangun said with the rise in the import duty, the country's CPO exports toIndia is unlikely to surpass the level recorded in 2004.