InfoSAWIT, JAKARTA – Indonesia has reduced its reference price for crude palm oil (CPO) for July 2026 to US$1,000.90 per metric ton (MT), a decline of US$28.61, or approximately 2.78%, from the June benchmark of US$1,029.51/MT.

The updated reference price, announced by the Ministry of Trade, serves as the basis for calculating Indonesia's export duty (BK) and export levy (PE) applicable throughout July.

Tommy Andana, Director General of Foreign Trade at the Ministry of Trade, said the adjustment reflects recent developments in international palm oil markets.

He attributed the weaker benchmark primarily to softer global demand, particularly from India, one of the world's largest palm oil importers, as well as lower crude oil prices that have weighed on vegetable oil markets.

"The CPO reference price for July 2026 is lower than the previous period. Under the applicable regulations, the government has set the export duty at US$148 per metric ton, while the export levy remains 12.5% of the reference price, equivalent to US$125.11 per metric ton," Tommy said in a statement received by InfoSAWIT.

The export duty is determined under Minister of Finance Regulation (PMK) No. 38/2024, as amended by PMK No. 68/2025, while the export levy follows PMK No. 69/2025, as amended by PMK No. 9/2026.

The July reference price was calculated using average market quotations recorded between May 20 and June 19, 2026.

Price data were sourced from three benchmarks:

• Indonesia CPO Exchange: US$890.84/MT
• Malaysia CPO Exchange: US$1,110.97/MT
• Rotterdam CPO Market: US$1,468.28/MT

Under Minister of Trade Regulation No. 35/2025, when the price gap among the three references exceeds US$40 per metric ton, the government uses the median value and the closest corresponding benchmark for the final calculation.

Applying that methodology, the Ministry used quotations from the Indonesia CPO Exchange and the Malaysia CPO Exchange to arrive at the July reference price of US$1,000.90/MT.

In addition to CPO, the government also set the export duty for branded refined, bleached and deodorized (RBD) palm olein packaged in containers of up to 25 kilograms at US$33 per metric ton.

The list of eligible branded RBD palm olein products is stipulated under Minister of Trade Decree No. 1503 of 2026. (T2)