Indonesia palm oil sector sees price updates and calls for investment

In Riau Province, the price for fresh fruit bunches (TBS) for independent smallholder palm oil farmers has been set for the period of October 14–20, 2026. The highest price recorded is Rp3,603.92 per kilogram for 9-year-old plants. Prices vary based on plant age, with a gradual decrease observed in older trees. Additionally, the average price for crude palm oil (CPO) is set at Rp14,722.29 per kilogram, while kernel prices reached Rp12,344.61 per kilogram.

Finance Minister Suahasil Nazara is calling for increased private investment across the entire palm oil value chain to boost productivity and strengthen downstream industries. With over 16.8 million hectares of palm oil plantations in Indonesia—41 percent of which are managed by smallholders—the Minister emphasized that investment should focus on sustainability, downstream product innovation (such as oleochemicals and biomaterials), and renewable energy initiatives including B50, green diesel, and sustainable aviation fuel (SAF).