JAKARTA, InfoSAWIT – Indonesia's benchmark crude palm oil (CPO) price at PT Kharisma Pemasaran Bersama Nusantara (KPBN Inacom) increased on Monday (July 13), tracking gains in the Malaysian palm oil futures market amid stronger global crude oil prices.
KPBN set the CPO reference price at Rp15,605 per kilogram, up Rp95/kg, or approximately 0.61%, from Rp15,510/kg recorded on Friday (July 10). The Franco Belawan tender closed at Rp15,605/kg, while the Franco Tanjung Priok tender was withdrawn after the highest bid reached Rp15,510/kg.
The domestic price increase came as crude palm oil futures on Bursa Malaysia Derivatives ended higher, supported by a sharp rise in international crude oil prices that improved the outlook for palm oil demand from the biodiesel sector.
Brent crude climbed about 3.8% to US$78.90 per barrel during trading after renewed geopolitical tensions disrupted oil flows through the Strait of Hormuz, boosting expectations for higher demand for vegetable oil-based biofuels.
According to Bernama, the July 2026 CPO futures contract rose RM17 to RM4,472 per tonne, while the August contract also gained RM17 to RM4,493 per tonne. September futures advanced RM20 to RM4,533 per tonne, with October and November contracts adding RM19 each to RM4,566 and RM4,601 per tonne, respectively. The December contract recorded the largest increase, climbing RM21 to RM4,633 per tonne.
Despite the stronger prices, market activity softened. Trading volume declined to 54,241 lots from 113,131 lots in the previous session, while open interest eased to 283,758 contracts from 286,062 contracts. Meanwhile, the July South physical CPO price slipped RM10 to RM4,480 per tonne, reflecting continued supply-side pressure despite firmer futures sentiment.
For Monday's KPBN tender, CPO prices were recorded at Rp15,605/kg for Franco Belawan, while several other locations, including Tanjung Priok, West Kalimantan, and Palembang, were withdrawn after bids fell below sellers' expectations. Meanwhile, local tenders at PKS Parindu and PKS Kembayan were concluded at Rp15,255/kg and Rp15,155/kg, respectively. (T2)
