Indonesian cabinet reshuffle follows palm oil storm

JAKARTA－Indonesian President Joko Widodo announced a cabinet reshuffle on Wednesday, appointing a new trade minister following controversy over a series of policy flip-flops on palm oil exports.

In an official ceremony at the state palace, the president inaugurated Zulkifli Hasan, chairman of the National Mandate Party, or PAN, and former forestry minister, as the country's next trade minister, among other changes.

The reshuffle comes after former trade minister Muhammad Lutfi faced political pressure over policy efforts to contain a surge in domestic cooking oil prices, which included a shock ban on palm oil shipments from the world's biggest exporter.

Lutfi had blamed a "palm oil mafia" for undermining efforts to contain cooking oil prices after bringing in a surprise ban on palm oil exports in April.

Indonesia produces about 60 percent of the world's palm oil, which is used in products from chocolate spreads to cosmetics, with one-third consumed by its domestic market.

The three-week export ban, lifted on May 23, sent shock waves through global markets and led to a series of arrests for alleged corruption after the attorney general launched an investigation.

Political observers said the president may also have been looking to appoint a PAN member to his cabinet after the party.

Widodo is currently serving out his second term. He also announced changes to the agrarian and spatial planning ministry, appointing former armed forces chief Hadi Tjahjanto.

Widodo also inaugurated three deputy ministers to the ministries of manpower, spatial planning and home affairs. "It's okay to replace the players during injury time as long as it is aimed for better performance and not for political consolidation," Hendri Satrio, a political analyst from Paramadina University, told Agence France-Presse.

A poll conducted by Charta Politika, which was released on Monday and interviewed 1,200 people from May 25 to June 2, showed that 63.1 percent of respondents supported a proposal to reshuffle the cabinet.

Agencies via Xinhua