REPUBLIKA.CO.ID, PEKANBARU -- The Provincial government of Riau has recorded a decline in the price of Crude Palm Oil (CPO) in Riau by Rp17.66 per kilogram as the price went from Rp1,786.25 per kilogram last week to Rp1,768.59 per kilogram.

One of the reasons for the decline in price is due to the stagnant global demand for CPO since the Eid Al-Fitr period this year.

"After the Eid period, there has even been a negative sentiment from the French Environmental Ministry, which stated that they would take measures to limit the use of palm oil in the mix of biofuel," Head of the Riau Province Food Crops, Horticulture and Plantation Offices Ferry Ernaputra stated in Pekanbaru on Tuesday.

He believed that the policy was laid down by the French government in order to lessen deforestation in palm oil producing countries.