Indonesia would issue policies to stabilize prices of cooking oils derived from crude palm oil (CPO), the country's Industry Minister Fahmi Idris said in Jakarta Monday.

Minister Idris said that the government would issue a domestic market obligation (DMO) at the end of this month and to decrease the demand of CPO for cooking oils and industry consumption.

"The first step is to be taken in coordination with businessmen, a measure for stabilizing oil price," he told a press conference at the vice presidential office here.

The minister said that the global demand of crude palm oil for bio diesel had mounted recently, triggering the rise of oil products derived from crude palm oil.

"The government in the near future will impose a DMO that will kicked off at the end of this month,"said Idris.

Besides, the government would decrease the demand of crude palm oil for cooking oil and industry from 4.5 million tons per year to between 3.8 to 3.9 million tons per year after the palm oil was processed, he said.

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

Source: Xinhua