PalmCo Absorbs 3.25 Million Tons of Smallholders’ FFB in 2025, Strengthens Partnerships

President Director Jatmiko said the volume represented a significant share of the company’s 12.26 million tons total processed FFB last year. The figure marks a 16% increase compared to 2024, supported by partnerships with hundreds of village cooperatives and farmer institutions across seven regional zones. He said farmer FFB absorption directly affects price stability and farmer welfare. Assisted partner farms have recorded productivity growth of 19–20% in recent years. PalmCo also expanded support through the Smallholder Replanting Program (PSR), facilitating technical recommendations covering 23,188 hectares in 2025, ensuring replanted farms return to productivity and remain connected to the industrial supply...

From Kuala Lumpur to Bali, Palm Oil Is Chased by Markets and Cornered by Regulation

Yet behind the numbers lies a more complex reality. Deforestation remains unresolved, supply-chain traceability is uneven, and welfare gaps between large companies and Smallholders persist. Meanwhile, pressure from global markets—particularly Europe—has intensified. The European Union Deforestation Regulation (EUDR) now requires all products entering the EU to be traceable to plantation level and proven deforestation-free. For some industry players, it is a technical challenge; for others, it feels like a narrowing trade barrier. “We can’t avoid this pressure,” said JD D’Cruz. “But we can turn it into progress.”   Smallholders at a Critical Crossroads RSPO Market Transformation Director Inke Van Der...

Deforestation Is Not Always Palm Oil: IPB Professor Yanto Santosa Urges Evidence-Based Debate

He delivered the message during the National Palm Oil Seminar hosted by UPN Veteran Yogyakarta, attended by online on Thursday (Jan 22, 2026). Yanto noted that deforestation is often used as a broad term in public debate, despite having clear definitions at both international and national levels. “FAO and the World Bank since 1990 have defined deforestation as the loss of forest cover, either permanently or temporarily,” he said. He explained that forest cover refers not simply to trees, but to vegetation with specific composition and density that supports forest functions, including microclimate regulation, hydrology, and wildlife habitat within an...

Oil Palm Thrives on Marginal Land: IPB Professor Highlights Its Strategic Role for Indonesia

Prof. Budi made the remarks during a National Palm Oil Seminar held by UPN “Veteran” Yogyakarta, attended online by on Thursday (22/1/2026). “Oil palm grows very well and is highly productive in Indonesia, even though much of it develops on marginal soils,” said Prof. Budi. He noted that Indonesia currently has the largest oil palm plantation area in the world, spanning more than 16.8 million hectares. This scale positions palm oil not merely as a plantation commodity, but also as a major economic driver from the local to international level.   A Key Economic Engine and Export Earner According to...

Exports Power China’s 5% Growth in 2025 Despite Trump Tariffs, but Risks Mount in 2026

The 5% result aligned with the Chinese government’s official target of “around 5%” for 2025. Still, the growth pace softened from 4.8% in the previous quarter. With weak domestic consumption and subdued business investment, exports once again became the main engine keeping the economy moving. Strong external demand also contributed to a record trade surplus of US$1.2 trillion, helping offset broader weaknesses at home.   Exports Cushion the Blow, but Protectionism Looms The export momentum continued even as China’s trade with the United States fell after Trump returned to office and increased tariffs. Reports suggested the decline was compensated by...

Environmental Intelligence: Indonesia’s New Path Toward Sustainable Palm Oil

Cyclone Senyar was said to be the immediate trigger, but the deeper causes stretch far beyond one weather event: deforestation, river sedimentation, and the weakening of watershed buffer areas. The disasters reinforced how climate change and weak land governance can amplify risks—even in regions widely recognized as the heart of Indonesia’s palm oil production. Root Causes: Complex and Reinforcing One Another The ecological crisis that erupted at the end of 2025 did not happen in isolation. Forest clearing and land conversion for plantations and mining have drastically altered watershed systems. Meanwhile, uncontrolled settlement expansion and infrastructure development along riverbanks have...

Indonesia and Malaysia Eye Bigger Palm Oil Trade Expansion in Pakistan

Held in Karachi, the conference attracted major industry players, buyers, analysts, and international representatives, with participation from six foreign countries including Malaysia, Indonesia, Canada, and the United States. In his opening remarks, PEOC CEO and Chairman of the Pakistan Edible Oil Refiners Association (PEORA), Rasheed Janmohammed, highlighted the scale of Pakistan’s edible oil market potential and expressed appreciation to all stakeholders, including overseas delegates who attended in person. Rasheed presented a paper titled “Global Vegetable Oil Market: Pakistan Perspective,” outlining both opportunities and challenges Pakistan faces in securing stable edible oil supplies amid shifting global trade flows. Echoing the message,...

Pakistan Strengthens Its Role as Key Market for Indonesian Palm Oil, Trade Cooperation Deepens

The strategic importance of the market was reaffirmed by Indonesia’s Deputy Minister of Trade Dyah Roro Esti Widya Putri during the Indonesian Palm Oil Networking Reception held in Karachi, Pakistan, on Friday (January 9, 2026). “Over the past five years, Indonesian palm oil exports to Pakistan have grown by an average of eight percent per year. The government will continue strengthening trade cooperation so the benefits can be felt more widely in both countries,” Dyah Roro said in an official statement, as written by on Tuesday (January 13, 2026). The event was attended by Pakistan’s Minister of Commerce Jam Kamal...

Beyond Palm Oil: Indonesia Offers Broader Downstream Partnership with Pakistan

Speaking at the opening of the 8th Pakistan Edible Oil Conference (PEOC) in Karachi on Saturday (January 10), Roro highlighted prospects for joint ventures in refining and processing, as well as collaboration in logistics, storage, port infrastructure, and other vegetable oils. “These sectors offer strong potential for value creation, technology transfer, and job creation in both countries,” she said, as quoted by on Monday (January 12, 2026). Indonesia, she added, is committed to strengthening sustainable palm oil production through environmental protection, law enforcement, traceability, modernization, and support for smallholders via the Indonesian Sustainable Palm Oil (ISPO) certification system. Pakistan remains...

Dispelling Myths: Time to Build a Positive Image of Palm Oil

He called on all stakeholders to work together to build a positive image of Indonesian palm oil on the global stage. In the near future, Bambang is scheduled to attend a meeting with the Dutch government in Rotterdam to discuss cooperation opportunities in palm oil marketing and diplomacy in Europe. “We want Rotterdam to become the gateway for Indonesian palm oil into Europe, while also reversing the negative perceptions that have developed so far,” he said optimistically. Bambang also expressed appreciation for the role of the Palm Oil Plantation Fund Management Agency (BPDP), which since 2016 has channeled substantial funds...

Palm Oil Industry Seeks to Rewrite Its Global Image

At the time, international publications frequently highlighted deforestation and wildlife habitat loss linked to plantation expansion. However, Traeholt said such narratives often overlooked significant efforts in Indonesia to improve sustainability practices. “That label was not entirely fair,” he said. “Many companies, research institutions, and NGOs have made substantial changes, but the positive stories are rarely told.” According to Traeholt, true sustainability goes beyond administrative compliance with certification schemes such as RSPO and ISPO. Instead, it should focus on real, measurable improvements in ecosystems and community welfare. Certification, he argued, should move beyond compliance toward ecosystem restoration, ensuring that conservation areas...

Productivity Determines Malaysia’s Palm Oil Competitiveness, MPOC Urges Realistic Yield Targets

The Chairman of the Malaysian Palm Oil Council (MPOC), Carl Bek-Nielsen, said the palm oil industry has spent too long discussing yield improvements without achieving significant progress. In some cases, productivity has even declined. According to him, sustainability lies not in chasing ambitious targets, but in setting realistic and achievable goals. “If productivity is low and commodity prices fall, that is a recipe for disaster. Conversely, with high productivity, the industry has a buffer when prices weaken,” Bek-Nielsen said, as quoted by from The Edge Markets on Monday (January 5, 2026). The interview marked Bek-Nielsen’s first since assuming the role...

‘No Palm Oil’ Labels Misleading Consumers, Indian Food Industry Warns

The Indian Food and Beverage Association (IFBA) said the label trend creates negative perceptions of palm oil despite its long-standing role in Indian diets since the 19th century. “Palm oil has a recognised place in a healthy and balanced diet,” said IFBA Chairman Deepak Jolly, citing nutritional guidelines issued by India’s Ministry of Health. “Labels such as ‘No Palm Oil’ promote perception rather than evidence-based nutrition.” IFBA highlighted palm oil’s affordability, versatility, and long shelf life as key reasons it is widely used by global food manufacturers. The association warned that social media-driven narratives were encouraging consumers to make decisions...

Suspected Palm Oil Spill Forces Temporary Closure of Three Beaches in Eastern England

The Thanet District Council confirmed that initial reports came from three popular seaside locations—Margate Main Sands, Ramsgate Main Sands, and Botany Bay—where the unusual substance was found scattered along the shoreline and noticed by visitors over the weekend. In a statement shared on social media, HM Coastguard said the material is believed to be palm oil that has solidified after exposure to cold seawater. The agency urged the public to report any similar findings elsewhere along the coast. “Palm oil washed ashore may appear harmless, but it poses a serious risk to dogs if ingested,” HM Coastguard warned, as reported...

Global Palm Oil Supply Faces Land and Policy Pressures Ahead of 2026

According to analyst Sathia Varqa of Fastmarkets, Indonesia is projected to add 1.5–2.0 million tonnes of CPO output in 2026, following strong gains in 2025. However, government-led land seizures targeting illegal plantations could put 2–5 million tonnes of future output at risk. Malaysia, meanwhile, is expected to see output ease slightly to 19.6 million tonnes in 2026 after a strong 2025, constrained by aging trees, labor shortages, and limited replanting. Analysts say global prices will increasingly depend on how governments manage land policy enforcement and production recovery.  

India Emerges as Key Demand Anchor for Palm Oil Market in 2026

Fastmarkets analysis shows China’s palm oil imports will likely stay subdued due to abundant soybean oil stocks and unfavorable price spreads. In contrast, India—the world’s largest palm oil importer—is projected to absorb critical supply volumes to support market balance. In Europe, Rotterdam remains a key pricing hub, but liquidity continues to decline amid uncertainty surrounding the EU Deforestation Regulation (EUDR), now set to take effect in December 2026. Palm kernel oil prices already reflect EUDR compliance premiums of US$350–400 per tonne, signaling potential trade segmentation between compliant and non-compliant supply chains. Analysts expect palm oil prices to remain firm in...

Genetic Research Strengthens Palm Oil Sustainability for Energy and Food Security

Efforts to reinforce national energy and food security do not always begin with downstream policy measures. In many cases, the foundation is laid far from public attention—through genetic research and biodiversity exploration. This is the path Indonesia is now taking by strengthening the Strategic Genetic Diversity (SGD) of oil palm, a move with impacts extending well beyond laboratory walls. In the short term, the initiative opens access to new genetic resources essential for developing superior oil palm varieties. Over the long run, it plays a crucial role in safeguarding palm oil supply for food and energy, enhancing national resilience, and...

Productivity Determines Malaysia’s Palm Oil Competitiveness, MPOC Urges Realistic Yield Targets

The future competitiveness and sustainability of Malaysia’s palm oil industry is increasingly determined by its ability to improve productivity. Stagnant production growth has begun to constrain supply, a concern industry players say has been voiced for decades. The Chairman of the Malaysian Palm Oil Council (MPOC), Carl Bek-Nielsen, said the palm oil industry has spent too long discussing yield improvements without achieving significant progress. In some cases, productivity has even declined. According to him, sustainability lies not in chasing ambitious targets, but in setting realistic and achievable goals. “If productivity is low and commodity prices fall, that is a recipe...

Pakistan–Indonesia Strengthen Ties, Palm Oil Trade Remains a Pillar of Bilateral Relations

Pakistan and Indonesia on Tuesday agreed to expand cooperation in trade, health, agriculture, information technology, science, and education, while deepening coordination on regional and global issues, including Palestine. During a joint press conference at the Prime Minister’s House in Islamabad, Prime Minister Shehbaz Sharif reaffirmed Pakistan’s commitment to strengthening economic ties. He noted that bilateral trade currently stands at US$4.5 billion, over 90% of which consists of Indonesian palm oil exports to Pakistan. Shehbaz said Pakistan is ready to work closely with Indonesia to meet agreed trade targets and even offered medical professionals—including doctors, dentists, and professors—to support Indonesia’s healthcare...

Government Races to Meet 4 Million-Hectare Target in Palm Oil and Mining Land Recovery

The Indonesian government is accelerating efforts to restore control over forest areas. The Task Force for Forest Area Control (PKH) is nearing its target of reclaiming 4 million hectares of palm oil and mining land by the end of 2025. PKH spokesperson Barita Simanjuntak revealed that, as of December 8, 2025, the state had regained control over 3.77 million hectares. “By the end of December, within the next two weeks, we will meet the 4-million-hectare target,” he said, as reported by Bisnis.com and quote by InfoSAWIT . Of the total reclaimed area, 1.50 million hectares have been transferred to Agrinas...