Press Release
Indonesian Palm Oil Association (IPOA)

EXPORT STILL LOW, STOCK RISES

Indonesia’s exports of palm oil products in April 2022 reached 2,089 thousand tons, which were lower than those in April 2021 at 2,636 thousand tons. The low exports were caused by the government’s steps to increase the supply of palm cooking oil at domestic market as the price of cooking oil until April 2022 was still beyond expectation.

The price of CPO Cif Rotterdam decreased from US$1,813 in March to US$1,719 in April. In line with the price, the palm oil export value dropped from US$3,513 million in March to US$3,435 million in April. Based on country destination, the export drop was seen to Pakistan, USA, China and India, while the exports to Netherlands, Russia and Bangladesh rose.

The domestic consumption shows an increase from 1,507 thousand tons in March to 1,751 thousand tons in April. The highest increase was seen for food industries from 635 thousand tons in March to 812 thousand tons in April, followed by consumption for biodiesel production from 1,507 thousand tons in March to 1,751 thousand tons in April.

The production of CPO rose by 100 thousand tons from 3,782 thousand tons in March to 3,882 thousand tons in April, while the production of PKO rose from 368 thousand tons to 373 thousand tons.

Considering the production, consumption and exports, the palm oil stock in April 2022 was estimated at 6,103 thousand tons, as compared to 5,683 thousand tons in March. With weather being relatively supportive and high price, the momentum of rising production should be maintained to allow optimization of income. In addition to that, the stock increase should be watched out to prevent full tanks as a result of export ban. If the tanks full, then the palm oil mills will stop operation, which will result in no purchase of fresh fruit bunches (FFB) from oil palm farmers.

Jakarta, 23 June 2022
Indonesian Palm Oil Association (IPOA)

For further information, please contact:

Mukti Sardjono
Executive Director GAPKI