InfoSAWIT, JAKARTA – Indonesia’s palm oil inventory continued to edge lower at the end of April 2026 as stronger domestic consumption and export demand absorbed available supplies, while global crude palm oil (CPO) prices remained well above last year’s levels.

According to the latest report from the Indonesian Palm Oil Association (GAPKI), domestic palm oil consumption reached 2.141 million tonnes in April, up 1.23% from 2.115 million tonnes recorded in March.

The increase was primarily driven by the biodiesel sector, where consumption climbed 7.67% to 1.137 million tonnes, compared with 1.056 million tonnes a month earlier. Palm oil use by the oleochemical industry also rose 6.79%, increasing from 162,000 tonnes to 173,000 tonnes.

Food-sector consumption, however, moved in the opposite direction, falling 7.36% to 831,000 tonnes from 897,000 tonnes in March.

“Cumulative domestic consumption during January–April 2026 reached 8.666 million tonnes, representing a 6.06% increase from 8.171 million tonnes recorded in the corresponding period of 2025,” GAPKI Executive Director Mukti Sardjono said in a statement received by InfoSAWIT on Monday.

The combination of higher domestic demand and stronger exports contributed to a gradual tightening of national palm oil stocks. Beginning inventories stood at 2.568 million tonnes in April, while production reached 4.903 million tonnes. After accounting for domestic consumption of 2.141 million tonnes and exports of 2.777 million tonnes, ending stocks slipped to 2.558 million tonnes, slightly below the 2.568 million tonnes recorded at the end of March.

Although the decline was modest, the figures indicate that both domestic and international markets continued to absorb supplies at a healthy pace.

Higher international prices also continued to support the industry. During the first four months of 2026, the average CIF Rotterdam CPO price reached US$1,408 per tonne, compared with US$1,211 per tonne during the same period last year.

The combination of elevated prices, expanding domestic demand, and tightening inventories is expected to provide continued support for CPO prices in the near term, provided there is no significant surge in production or weakening in global demand.

Indonesia’s palm oil export earnings also strengthened during the January–April period, reaching US$13.04 billion, an increase of 20.52% from US$10.82 billion in the corresponding period of 2025, supported by both higher export volumes and firmer global palm oil prices. (T2)