Domestic and Export CPO Growth Boosts Indonesia’s Palm Oil Industry

Indonesia’s domestic and export demand for crude palm oil (CPO) surged in 2025, boosting sales and export revenue for the country’s palm oil industry, according to data from the Indonesian Palm Oil Association (Gapki).

Gapki reported that domestic CPO consumption reached 18,460 tons between January and September 2025, up 5.1 percent from 17,550 tons during the same period in 2024.

The biodiesel sector remained the largest domestic consumer, accounting for 9,414 tons, or roughly 51 percent of total local consumption. Food applications absorbed 7,372 tons (40 percent), while oleochemical products accounted for 1,674 tons (9 percent).

Bumi Makmur Anugerahagung (BMA), a major national palm oil producer, said the domestic market surge has fueled optimism for a substantial increase in sales.

“Based on first-half 2025 sales results, BMA expects sales volume to double this year compared with 2024,” Director Cheny Canliarta said Thursday in Jakarta.

The company is pursuing expansion and product diversification strategies to strengthen its position in the national CPO market. “We are committed to supporting a sustainable and competitive palm oil supply chain,” Cheny added.

Indonesia, the world’s largest palm oil producer, also recorded strong export growth. Central Statistics Agency (BPS) data show that palm oil exports rose 25.7 percent in value as of October 2025 compared with the same period last year.

Between January and October 2025, Indonesia exported about $20.2 billion of crude and processed palm oil, accounting for 9.05 percent of the country’s non-oil-and-gas exports. Export volumes totaled 19.49 million tons, up 7.8 percent from 18.08 million tons in the same period of 2024. October shipments alone reached 1.91 million tons.

Gapki attributed the export growth to higher average CPO prices, which reached $1,210 per ton CIF Rotterdam from January through September, compared with $1,020 per ton in the same period last year. Prices on global markets rose 0.8 percent month-on-month in October, reaching $1,045.04 per ton.

Tags: demand, export, Indonesia, Crude palm oil, biodiesel, palm oil, consumption