InfoSAWIT, NANNING - The Indonesian Pavilion at the 22nd China-ASEAN Expo (CAEXPO-CABIS) in Nanning is drawing significant attention, thanks in large part to the participation of the Plantation Fund Management Agency (BPDP). Partnering with the Indonesian Palm Oil Association (GAPKI), BPDPKS is on a mission to expand international market access, especially to China, while promoting a sustainable image of the palm oil industry.
The BPDPKS booth features the "Sawit Baik" (Good Palm Oil) campaign, which highlights sustainability, traceability, and the industry's contributions to the national economy. Beyond education, the pavilion showcases creative, palm oil-based innovations. One such exhibitor, the small- and medium-sized enterprise (SME) CV Smart Batik, has captivated visitors with products like sandals, bags, and handicrafts made from palm oil byproducts. Attendees have shown great interest in the raw materials, production processes, and potential for business partnerships.
This focus on innovation reflects a new direction for the Indonesian palm oil industry, moving beyond raw crude palm oil (CPO) exports to develop high-value downstream products. The booth buzzed with interactions between Indonesian SMEs and potential Chinese business partners.
China: A Strategic Market
BPDP's presence at CAEXPO-CABIS underscores China's importance as a strategic market. The country is the world's second-largest palm oil importer after India, with demand exceeding 6 million tons in 2024, driven by its food, oleochemical, and renewable energy sectors.
For Indonesia, strengthening its foothold in the Chinese market is crucial for stabilizing prices and improving the livelihoods of palm oil farmers. In 2024, Indonesia's exports of palm oil and its derivatives surpassed US$25 billion, accounting for 12-13% of the nation's total exports and solidifying the commodity's role as a key foreign exchange earner.
A GAPKI Deputy Chairman emphasized that international forums like CAEXPO are vital for market expansion and for building global understanding of Indonesia's commitment to sustainable palm oil. "CAEXPO-CABIS provides a strategic platform for us to convey that Indonesia's palm oil industry is committed to sustainability principles. China is a growing market, and through this forum, we are not only strengthening understanding but also opening up opportunities for downstream product diversification and palm oil-based SMEs," he said in an official statement. (T2)
