RRI.CO.ID, Jakarta - War is not always bad news for every sector. The recent conflict involving Iran and the United States has created challenges for financial markets, but it has also boosted some of Indonesia's export commodities.

Rising geopolitical tensions have pushed global crude oil prices up. Rising oil prices often raise prices of other commodities, especially those that can replace petroleum products.

Crude palm oil (CPO) is one of the affected commodities. Global CPO prices increased from about $1,090 per ton on 2 July to around $1,105 per ton.

The conflict has also supported rubber prices. Conflict conditions can increase demand for rubber because it is widely used in vehicles, equipment, and other industrial products.

Rubber prices climbed from around $2.09 per kilogram on July 3 to about $2.17 per kilogram. The increase is not only linked to surging oil prices but also to stronger demand during periods of conflict.

The conflict has also raised concerns about rising inflationary pressure globally. This has weakened the Indonesian rupiah, making Indonesia's export commodities more competitive in global markets and supporting farm-gate prices.

For palm oil and rubber farmers, higher commodity prices can bring higher income. Export companies may also benefit from stronger global prices.

Even so, war is not good for the overall economy. While some export sectors may gain in the short term, prolonged conflict creates uncertainty, slows economic growth, and increases risks for businesses and consumers.

Writer: Gunawan Benjamin (Islamic University of North Sumatra)