InfoSAWIT, JAKARTA – Crude palm oil (CPO) remained the main engine of growth for Bumitama Agri Ltd. during the first half of 2026, with revenue from the commodity reaching Rp10.27 trillion, up 23 percent from the same period last year.

According to Bumitama's first-half report, as reported by InfoSAWIT on Monday (Aug. 17, 2026), CPO contributed approximately 85 percent of the company's total revenue.

The increase was supported by higher production, stronger sales volumes and an increase in the average selling price of CPO.

Bumitama produced 672,590 tons of CPO during the first six months of 2026, an 11 percent increase from 609,000 tons recorded during the same period last year.

Production growth accelerated in the second quarter. CPO output reached 362,000 tons in the second quarter, up 17 percent from 310,000 tons in the first quarter.

CPO Sales Reach 696,000 Tons

On the sales side, Bumitama's CPO sales volume reached 696,000 tons in the first half of 2026, rising 21 percent from 574,000 tons in the same period of 2025.

The increase in sales volume was accompanied by stronger CPO revenue. Revenue from CPO stood at approximately Rp8.32 trillion in the first half of 2025 before rising to Rp10.27 trillion during the first half of this year.

The average selling price also provided additional support. Bumitama's average CPO selling price increased from Rp14.5 million per ton in the first half of 2025 to Rp14.7 million per ton in the first half of 2026.

The combination of higher sales volumes and stronger selling prices further strengthened CPO's position as Bumitama's largest source of revenue.

Higher FFB Production Supports CPO Output

The increase in CPO production was closely linked to stronger fresh fruit bunch (FFB) supplies.

Bumitama's internal FFB production reached 1.86 million tons, up 13 percent year on year. Internal productivity also increased 16 percent, from 9.2 tons per hectare to 10.7 tons per hectare.

Overall, Bumitama's FFB harvest reached approximately 3 million tons during the first half of 2026, up 10 percent from 2.73 million tons recorded a year earlier.

The company also recorded an oil extraction rate (OER) of 22.5 percent, slightly higher than the 22.4 percent achieved in the first half of 2025. The improvement in extraction efficiency contributed to higher CPO output.

Looking toward the second half of 2026, Bumitama sees several factors that could continue to support the vegetable oils market.

One of them is stronger domestic demand for palm oil following the implementation of Indonesia's B50 biodiesel policy. The policy has the potential to increase domestic absorption of palm oil.

At the same time, global vegetable oil markets face the possibility of tighter supplies. Volatility in energy markets caused by supply disruptions linked to geopolitical developments could also influence commodity price movements.

For Bumitama, the combination of improved plantation productivity and supportive market conditions provides a foundation for maintaining CPO business performance through the remainder of 2026. (T2)