InfoSAWIT, JAKARTA – Indonesia’s palm oil exports fell sharply in May 2026, with shipments declining across nearly all major product categories as weaker demand and lower international prices weighed on trade performance. Despite the monthly downturn, cumulative exports during the first five months of the year remained firmly above last year’s level, according to the Indonesian Palm Oil Association (GAPKI).
In a statement received by InfoSAWIT on Thursday (July 16), GAPKI Executive Director Mukti Sardjono said total exports of palm oil products reached 1.996 million metric tons in May, down 28.14% from 2.777 million tons recorded in April.
The steepest decline occurred in processed palm oil products, where exports fell to 1.423 million tons, compared with 2.041 million tons a month earlier, representing a 30.26% contraction.
Exports of crude palm oil (CPO) experienced an even sharper drop, plunging 79.7% from 153,000 tons in April to just 31,000 tons in May. Meanwhile, exports of processed palm kernel oil (PKO) products declined 43.4%, decreasing from 97,000 tons to 55,000 tons.
Although May posted a significant correction, Indonesia’s export performance for the January–May period remained positive. Total palm oil exports reached 13.320 million tons, marking a 10.26% increase from 12.080 million tons during the corresponding period in 2025.
The weaker shipment volume also translated into lower export earnings. GAPKI reported that the value of Indonesia’s palm oil exports fell to US$2.49 billion in May, down 26.3% from US$3.38 billion recorded in April.
Besides reduced export volumes, declining international prices also contributed to the weaker performance. The average CIF Rotterdam CPO price stood at US$1,453 per ton in May, approximately 7.2% lower than the US$1,566 per ton recorded a month earlier.
Nevertheless, export earnings remained stronger on a cumulative basis. During January–May 2026, the industry generated US$15.526 billion in export revenue, an increase of 13.82% from US$13.641 billion in the same period last year.
The improvement was supported by relatively stronger global palm oil prices. Average CIF Rotterdam CPO prices during the first five months of 2026 reached US$1,417 per ton, compared with US$1,186 per ton over the same period in 2025.
Major export destinations recorded broad-based monthly declines in May. Shipments to China fell by 164,000 tons or 30%, while exports to India dropped 124,000 tons, representing a 60% decline.
Exports to Africa decreased by 140,000 tons (-36%), while shipments to the European Union slipped 26,000 tons (-5%). Exports to the United States declined 78,000 tons (-37%), and deliveries to Malaysia fell 49,000 tons (-36%).
Russia stood out as the only major market to post significant growth, with Indonesian palm oil exports rising by 86,000 tons, equivalent to a 216% increase compared with April.
Looking at the broader January–May period, export performance remained resilient across several key markets. Shipments to China increased 46%, exports to India rose 3%, deliveries to Africa expanded 14%, and exports to the European Union climbed 3%. Only the United States continued to record lower cumulative imports, down 8% from the same period a year earlier.
Despite the setback in May, GAPKI's latest figures indicate that Indonesia's palm oil industry continues to post healthy year-to-date growth in both export volume and value, supported by stronger average global prices and sustained demand across several strategic markets. (T2)
