Indonesia Pushes Palm Oil Downstreaming and Sustainability to Strengthen Global Competitiveness

Trade Minister Budi Santoso said Indonesia’s palm oil export strategy needs to go beyond price competitiveness by strengthening traceability, meeting international standards, diversifying export markets and making greater use of existing and emerging trade agreements. Budi delivered the remarks as a keynote speaker at the Regional Learning Forum on Sustainable Commodities in Jakarta on August 28, 2026. The forum brought together stakeholders from Indonesia’s cocoa and palm oil sectors as well as participants from overseas. According to Budi, competition in global markets is no longer determined solely by price. Buyers are increasingly taking sustainability, food safety and supply chain reliability...

MPOC: Monsoon Season Could Cushion Super El Niño Impact on Malaysia’s Palm Oil Production

Malaysian Palm Oil Council (MPOC) Chief Executive Officer Belvinder Sron said the impact of El Niño on palm oil production typically emerges after a lag of around nine to 12 months. Speaking to Bernama, Belvinder pointed to the previous Super El Niño in 2015, which was followed by a 13% decline in Malaysia’s palm oil production the following year, equivalent to roughly 2.6 million tonnes. However, he noted that dry weather conditions in 2026 have developed more slowly than during the 2015 event. As a result, rainfall between September and November will be crucial in determining the severity of drought...

BGA Shifts Focus from Infrastructure to People Development in Palm Oil Communities

According to , citing BGA Corporate Affair Director Johan Sukardi in an interview conducted in mid-May 2026, the shift is more than a change in the company’s Corporate Social Responsibility (CSR) programs. It reflects BGA’s broader view that sustainable development should leave behind not only physical infrastructure, but also knowledge, skills and stronger communities. The company is therefore moving away from a development model centred primarily on assistance and physical projects toward a capacity-based approach. The focus, in essence, is not only on what is built, but on who is able to grow and benefit from the development process. This...

Yahua Small Cold-Pressed Coconut Oil Production Line | Indonesia Export Project Record

Zhengzhou Yahua Cereals and Oils Engineering Co.,Ltd has long been deeply engaged in the field of tropical oil processing equipment such as palm oil and coconut oil. We specialize in the R&D, design and manufacturing of complete sets of oil processing equipment.

Global Agribusiness Giants Tighten Their Grip as Palm Oil Supply Chains Become a Strategic Battleground

A growing number of major agribusiness corporations now extend their influence far beyond seeds, pesticides, fertilisers and agricultural machinery. Their reach increasingly spans commodity trading, food processing, bioenergy and vegetable oil supply chains, including the global palm oil industry. The trend was highlighted in recent research by ETC Group and GRAIN, which examined the growing concentration of corporate power across the global food system. Their 2025 findings show that corporate concentration remains particularly high across major agricultural sectors. Five of the six sectors examined—commercial seeds, pesticides, agricultural machinery, animal pharmaceuticals and pig genetics—display characteristics associated with oligopolistic markets, where a...

GAPKI Strengthens Fire Prevention Measures as Palm Oil Companies Prepare for 2026 Dry Season

The Indonesian Palm Oil Association (GAPKI) has urged its member companies to reinforce preventive measures, maintain active firefighting teams and strengthen cooperation with government agencies, security forces and surrounding communities. According to GAPKI, forest and land fire prevention cannot be handled by a single institution or sector. Effective control requires coordinated action involving businesses, government agencies, law enforcement, local communities and other stakeholders. GAPKI Chairman Eddy Martono said the stronger coordination reflects a shared responsibility to protect plantation areas and surrounding landscapes from fire risks. As part of its preparedness measures, GAPKI issued Circular No. 088/GAPKI/III/2026 on March 13, 2026,...

I-EU CEPA Set to Open New Export Path for Indonesian Palm Oil in Europe

The government is currently accelerating coordination across ministries and institutions to complete the legal, regulatory and technical groundwork required before the agreement takes effect. Trade Minister Budi Santoso said the preparations include finalising ratification documents, aligning domestic regulations and ensuring the technical readiness needed for implementation. The issue was discussed during the I-EU CEPA Implementation Preparation Dialogue held at the Coordinating Ministry for Economic Affairs in Jakarta on August 21. The meeting was chaired by Coordinating Minister for Economic Affairs Airlangga Hartarto and attended by representatives from government institutions and ambassadors from European Union member states. Budi said Indonesia is...

Indonesia Explores Second-Generation Bioethanol from Empty Palm Fruit Bunches

The initiative is being explored by the Ministry of Higher Education, Science and Technology (Kemdiktisaintek) in collaboration with PT Pertamina (Persero), with discussions focusing on the possible development of a small-scale pilot plant using biomass residues from the palm oil industry. The proposal was discussed during a meeting between Higher Education, Science and Technology Minister Brian Yuliarto and Pertamina Vice President Director Oki Muraza on Wednesday (August 19, 2026). One of the key issues discussed was the potential development of a pilot-scale 2G bioethanol facility. Kemdiktisaintek has also held preliminary discussions with India’s Praj Industries regarding biomass processing technology and...

UGM Identifies Genetic Marker Candidates to Improve Phosphorus Uptake Efficiency in Oil Palm

The study identified EgPti1 and EgPap3 as candidate molecular markers associated with phosphorus-use efficiency. The findings could support future breeding programmes aimed at developing oil palm planting materials that are better adapted to conditions where phosphorus availability is limited. Phosphorus is an essential nutrient for plant growth and development. However, its availability is not always optimal, particularly in certain tropical soils. This makes phosphorus fertilisation an important component of plantation management while also creating opportunities to develop oil palm varieties that can absorb and utilise the nutrient more efficiently. The UGM research, titled “Identification and Characterisation of Genes Associated with...

Palm Oil Companies Urged to Strengthen Gender Committees to Prevent Sexual Violence

The issue gained renewed attention following a sexual violence case involving EZ, a member of SERBUNDO and the Palm Oil Workers Coalition (KBS). The case has prompted stakeholders to push for stronger protection systems for women workers across Indonesia's palm oil industry. The call was raised during the International Seminar on the Prevention and Handling of Sexual Violence in Palm Oil Plantations, organised by KBS together with its global partner, International Palm Oil Workers (IPOW), in Medan on August 21, 2026. The Netherlands-based FNV also participated online, reflecting wider international concern over worker protection in the palm oil sector. Sumarjono...

BRIN Research Tracks Ganoderma, the Silent Threat Lurking Beneath Oil Palm Plantations

Ganoderma, one of the most serious diseases affecting oil palm, has long been a major challenge for the plantation industry. Researchers at Indonesia's National Research and Innovation Agency (BRIN) are now seeking ways to detect its presence earlier, before infected palms begin showing obvious signs of decline. For the palm oil industry, Ganoderma is more than a plant disease. It represents both an economic threat and a scientific challenge that remains far from fully resolved. Siti Hardiyanti, a junior researcher at the Plantation Crops Research Center under BRIN's Research Organization for Agriculture and Food, explained that Ganoderma boninense is the...

Agrinas Prepares North Sumatra Palm Oil Plasma Pilot Project with Cooperatives

The plan is designed to establish a partnership framework between Agrinas and palm oil smallholders organised through cooperatives, combining plantation development with broader opportunities for community participation in the palm oil value chain. According to Antara, as published by on Wednesday, August 19, 2026, Agrinas Palma Nusantara President Director Mohammad Abdul Ghani said the pilot project had received support from the Ministry of Cooperatives. The initiative will focus on developing a plasma partnership model in North Sumatra that could later be replicated in other regions. “We will conduct a pilot project, with support from the Minister of Cooperatives, in North...

From Pakistan to Indonesia, Young Ambassador Finds a New Perspective on Palm Oil

Before travelling to Indonesia, much of Ahmad’s understanding of palm oil came from online discussions and social media in Pakistan. The range of opinions and concerns surrounding the industry left him with unanswered questions and a desire to examine the sector more closely. That curiosity encouraged Ahmad, a student and youth activist, to join the second batch of the #YoungElaeis Ambassadors (YEAs) programme. His participation later earned him recognition as the Second Winner in the Health & Nutrition category. Through the programme, Ahmad was given the opportunity to move beyond second-hand information. He was able to observe, ask questions and...

Indonesia Palm Oil Export Corruption Case Involving POME Enters Trial Phase

According to ANTARA, as reported by on Sunday (16/8/2026), the first hearing will focus on the reading of indictments against all 11 defendants in the alleged corruption case involving CPO exports during the 2022–2024 period. Jakarta Central District Court spokesman Andi Saputra said the defendants were allegedly involved in a case involving benefits obtained by themselves, other parties or corporations. The case involves 15 companies and, based on an audit by the Development Finance Comptroller (BPKP), allegedly caused state financial losses of Rp7.3 trillion. “They are charged in a corruption case involving benefits for themselves, other parties or corporations (15...

Sustainable Landscapes in West Kalimantan Link Forests, Tembawang and Palm Oil

The idea emerged during the Sustainable Landscape Seminar and Festival organized by the Farmers for Forest Protection Foundation (4F), Tanjungpura University (UNTAN) and the National Research and Innovation Agency (BRIN) in Pontianak, West Kalimantan, on Wednesday (12/8/2026). The event brought together researchers, academics, government representatives, smallholders, Indigenous communities, civil society organizations and businesses to discuss landscape management based on scientific evidence as well as community experience on the ground. 4F Executive Director Tirza Pandelaki said research findings need to be brought together with local knowledge so they do not remain confined to academic documents. “After working with communities across various...

Oil Palm Empty Fruit Bunch Waste Shows Potential as Eco-Friendly Nanolignin Adsorbent for Lead Removal

Research has explored lignin extracted from OPEFB as a potential adsorbent for lead ions, or Pb²⁺. The approach could open a new pathway for converting palm oil biomass waste into environmentally useful materials while supporting the development of a circular economy in the palm oil industry. The research, written by Mirza Ardella Saputra, Ph.D., from Universitas Airlangga, processed lignin extracted from OPEFB into particles ranging from the nano to submicron scale. The particle-size reduction process combined ball milling, solvent shifting and ultrasonication. Characterization results showed that ultrasonication was capable of reducing lignin particle size to approximately 268 nanometers, indicating the...

2,587 Plantation Cooperatives Urged to Drive Palm Oil Downstreaming and Strengthen Smallholder Position

The approach is expected to strengthen the bargaining position of palm oil smallholders while creating greater added value at the regional level. According to Indonesia’s Ministry of Cooperatives, the country currently has 2,587 cooperatives operating in the plantation sector. Cooperatives are considered an important institutional foundation for developing a palm oil downstreaming ecosystem that directly involves smallholders. The government sees opportunities to connect farmers, cooperatives, processing facilities, financing institutions and markets within an integrated value chain. Cooperatives located around palm oil plantation areas are being encouraged to move further into the supply chain. Instead of simply selling fresh fruit bunches...

UNDIP Students Turn Palm Oil Empty Fruit Bunches into Livestock Feed, Win National Gold Medal

Their innovation, known as SUWIIT (Smart Livestock Integrated Technology), earned a Gold Medal in the Business Plan category at the 11th Olimpiade Vokasi Indonesia (OLIVIA XI) 2026, held at Universitas Negeri Surabaya from August 2–4, 2026. The concept combines livestock feed made from palm oil biomass with digital livestock services, offering an approach that links the palm oil and livestock sectors through a circular economy model. The SUWIIT team consists of Luis Ibanez Sitinjak, Kholis Na’imah, and Irgy Khoiroel Al Fahrezi, students of the Applied Bachelor’s Program in Industrial Chemical Engineering Technology at UNDIP’s Vocational School. Their proposal was presented...

Vision AI Emerges as a New Tool for Monitoring Oil Palm Plantations

Syarifarudin Afa, AI Advisor at PT Lembaga Aplikasi Teknologi (LAT) Trisakti for the oil palm sector, said one of the approaches being developed involves on-premises AI processing. Under this model, AI models and plantation data are processed using computing infrastructure located within the company’s own environment. The approach could provide plantation companies with greater control over operational data and plant images collected from the field.   AI Monitoring Starts in the Nursery At the nursery stage, image analysis can help assess seedlings in both the pre-nursery and main nursery. Visual parameters such as leaf color, canopy condition and plant shape...

Indonesia’s One-Stop Palm Oil Export Policy Raises Questions Over Pricing and Payment Mechanisms

The policy is being regulated through Government Regulation (PP) No. 24 of 2026 and Trade Ministry Regulation (Permendag) No. 16 of 2026. However, several fundamental technical and commercial aspects remain unclear, according to Mansuetus Darto, Chairman of the Indonesian Palm Oil Farmers Organizations Association (POPSI). Darto said greater clarity was needed to maintain market confidence while ensuring that the policy does not weaken fresh fruit bunch (FFB) prices at the smallholder level. One of the main unanswered issues concerns how PT Danantara Sumberdaya Indonesia (DSI), designated as the state-owned export entity, will determine purchase and export prices for palm oil....