IPB Professor Urges Audit of $40 Billion State Loss from Underinvoicing

Sudarsono Soedomo, a professor of Forestry and Environmental Science at IPB University, is urging the government to critically examine the methodology used to calculate an estimated state loss of 500 trillion to 600 trillion rupiah ($33 billion to $40 billion USD) stemming from underinvoicing in palm oil exports. He stressed that these figures must be independently validated before they can serve as the basis for strategic policies. "Such a large figure cannot simply be an assumption for policy," Prof. Sudarsono stated in a press release in Jakarta on Saturday. "Before DSI is operational with claims of saving hundreds of trillions of rupiah, the government must ensure that the calculation methodology is correct, transparent, and scientifically accountable." His remarks follow President Prabowo Subianto's directive to centralize the export governance of strategic commodities to curb underinvoicing practices. In response, the government established PT Danantara Sumberdaya Indonesia (DSI) as a state-owned enterprise tasked with exporting strategic natural resources. Sudarsono's call for caution highlights concerns about the potential for policy decisions to be based on unverified financial claims. The establishment of DSI aims to streamline export processes and prevent revenue leakage, but its effectiveness hinges on accurate data and sound financial assessments.