InfoSAWIT, LAMPUNG – Cargill inaugurated its latest palm oil processing facility (refinery) in Lampung, Tuesday (October 21, 2025). This US$200 million investment marks an important milestone in Cargill's 50-year journey in Indonesia while strengthening the company's capacity to supply sustainable palm oil to global markets in North America, Europe, and Asia.
This high-tech refinery is designed to process up to 3,000 metric tons of palm oil per day, with a refining capacity reaching one million metric tons per year. All palm oil supplies are ensured to be sourced responsibly and traceable, in line with Cargill's commitment to sustainable and transparent industry practices.
Lampung Governor Rahmat Mirzani Djausal welcomed this new investment positively. He considered Cargill's refinery construction as tangible proof of investor confidence in Lampung Province's potential as an investment-friendly area.
“This investment not only strengthens the industrial sector but also opens jobs and supports sustainable regional economic growth,” said Rahmat in an official statement received by InfoSAWIT, Tuesday (October 21, 2025). “We appreciate the partnership with Cargill and hope this collaboration continues to advance Lampung and Indonesia.”
On the same occasion, Penne Kehl, Asia Pacific Group President of Cargill Agriculture and Trading, stated that the presence of the refinery in Lampung symbolizes Cargill's long-term partnership with Indonesia.
“For five decades we have grown together with Indonesia. This investment marks a new era to strengthen a resilient, safe, and sustainable palm oil supply chain,” said Penne.
This new facility is also equipped with wastewater treatment installations, modern water management systems, and energy-efficient equipment, designed to minimize environmental impact while maintaining product quality.
According to Azlan Adnan, Managing Director of Cargill's Tropical Oil Business, the refinery in Lampung is an important part of the company's integrated supply chain from upstream to downstream.
“This facility ensures better traceability and supports the increasing demand for sustainable palm oil. We are committed to maintaining a balance between business growth and contributions to communities in our operational areas,” he expressed.
In addition to focusing on palm processing, Cargill is also active in running various corporate social responsibility programs around its operational areas. Through initiatives such as the Family Health and Environmental Awareness Program in Srengsem Village, the company helps strengthen health services, improve community nutrition, and encourage environmentally friendly waste management practices. (T2)
