InfoSAWIT, JAKARTA – The global palm oil market is expected to remain relatively tight yet stable in early 2026, according to the Q1 2026 Palm Oil Industry Outlook report released by the Indonesian Palm Oil Strategic Studies (IPOSS) in February.
The report highlights Indonesia’s B40 biodiesel mandate as a key pillar supporting domestic demand. Although the planned increase to B50 has been postponed, absorption of crude palm oil (CPO) for energy purposes remains strong, helping stabilize the market.
IPOSS also noted a structural shift in Indonesia’s palm oil market compared to a decade ago. Domestic demand has now become the primary balancing factor for production, rather than merely absorbing residual export volumes.
On pricing, global CPO is projected to range between USD 962–1,030 per ton CIF Rotterdam in the first half of 2026. Assuming an exchange rate of Rp16,900 per US dollar, this translates to approximately Rp16,873–17,605 per kilogram.
“This projection reflects a moderately bullish trend, supported by relatively tight global vegetable oil supply and ongoing energy and geopolitical dynamics,” the IPOSS report stated.
Amid this outlook, PT Cisadane Sawit Raya Tbk. (CSRA) plans to accelerate expansion through both organic growth and strategic investments. This includes optimizing palm oil mill (PKS) utilization by sourcing fresh fruit bunches (FFB) from external suppliers.
CSRA Director of Finance & Strategic Development, Seman Sendjaja, said the company continues to actively seek new land acquisition opportunities.
“The company has implemented a comprehensive strategy to actively review and identify opportunities to acquire land with strong development potential,” he said in an official statement reported by InfoSAWIT, Monday (March 30, 2026).
He added that CSRA is currently targeting land development in Musi Banyuasin Regency, South Sumatra, near the operational area of PT Daya Agro Lestari.
“This development is considered strategic to facilitate operational integration, improve resource management efficiency, and optimize existing infrastructure and logistics systems,” he explained.
The land is expected to be managed by another subsidiary, PT Bintang Kenten Lestari.
CSRA views 2026 as a crucial year for executing its long-term strategy, with a focus on strengthening cash flow to support sustainable expansion.
“The Board prioritizes generating strong and sustainable cash flow to maintain financial stability, improve operational efficiency, and ensure internal funding availability for business development,” Seman added. (T2)
