JAKARTA (April 18 2003) : Plans for Indonesian exports of crude palm oil(CPO) to Egypt face delay over administration problems, an official fromPT Astra Agro Lestari said on Thursday.

Indonesia signed a Memorandum of Understanding (MoU) with Egypt inFebruary to supply around 30,000 tonnes of CPO per month for a year, withshipments set to begin in March.

Tjahyo Dwi Ariantono, head of investor and public relations at PT AstraAgro Lestari, told Reuters the company's CPO exports to Egypt increased inthe first quarter, but none were under the MoU.

"Until today, there's no implementation yet," Ariantono said. PT AstraAgro Lestari and PT London Sumatra were appointed to handle the operationfor the exports.

"There've been some problems with the administration," he added, but didnot elaborate.

PT London Sumatra could not immediately be reached for comment.

When asked if the war in Iraq had disrupted the operation, he said,"Transportation and insurance prices have indeed increased, but I don'tsee any damaging problem."

Indonesian CPO was quoted at $415 a tonne CIF Rotterdam on Thursday,virtually unchanged from Tuesday.

Indonesian exports of crude palm oil this year have been forecast at sixmillion tonnes from an estimated 5.2 million to 5.5 million tonnes in2002.

Industry sources have said Indonesia's palm oil output in 2003 wasexpected to rise to 9.2-9.5 million tonnes from around 8.8-9.0 milliontonnes in 2002.-Reuters