InfoSAWIT, JAKARTA – Indonesia's crude palm oil (CPO) industry continued to reinforce its position as one of the country's leading export earners during the first half of 2026, with export value increasing 7.32% year-on-year, supported by stronger global palm oil prices.
According to Statistics Indonesia (BPS), the improvement in international CPO prices played a significant role in boosting the country's export performance during the January–June period.
BPS Deputy for Distribution and Services Statistics Ateng Hartono said exports of CPO and its derivative products expanded by 7.32% compared with the same period last year, reflecting the positive impact of firmer global palm oil prices.
During June 2026, exports from Indonesia's agriculture, forestry, and fisheries sector reached US$485.8 million, while cumulative exports from the sector during the first six months of the year totaled US$2.59 billion, representing an annual increase of 1.84%.
Overall, Indonesia's total exports reached US$140.81 billion in the first half of 2026, up 4.13% from a year earlier. Non-oil and gas exports accounted for US$134.58 billion, posting a stronger growth rate of 4.90%.
Among non-oil export categories, animal and vegetable fats and oils (HS15)—dominated by palm oil and its downstream products—was one of the strongest contributors to national export growth. In June alone, exports in the category rose 10.45%, reflecting sustained strength in global palm oil markets.
BPS data also showed that palm oil products, together with iron and steel as well as coal, contributed approximately 28.30% of Indonesia's total non-oil exports during the first half of the year. Among the three major commodity groups, palm oil recorded the strongest growth, while iron and steel exports declined slightly and coal exports posted only modest gains.
Minister of Agriculture Andi Amran Sulaiman said the export performance highlights the strategic importance of Indonesia's palm oil industry as a major foreign exchange generator. He stressed, however, that stronger exports should be accompanied by accelerated downstream development to increase value-added production and improve the welfare of smallholders.
"Indonesia remains the world's largest palm oil producer, together with Malaysia accounting for around 80% of global CPO production. Therefore, downstream processing of CPO is one of Indonesia's most strategic competitive advantages," Amran said.
He added that the Ministry of Agriculture will continue promoting downstream investment to ensure Indonesia's palm oil exports grow not only in volume and value, but also through higher-value products capable of strengthening the country's competitiveness in international markets. (T2)
Source: InfoSAWIT
