Indonesia palm oil TBS prices hold steady as growers push for kernel cake pricing

In Pasaman Barat, the daily price of fresh fruit bunches (TBS) of oil palm remained unchanged on 5 July 2026, with the highest purchase price of Rp3 810.92 per kg paid by PT Bina Tani Nusantara. Other processors such as PT Gunung Sawit Abadi, PT Agrowiratama and PT Gersindo offered similar rates, while the lowest price recorded was Rp3 138 per kg. The stable pricing is intended to give farmers certainty and protect plantation incomes.

Separately, the Riau Palm Oil Association proposes that palm kernel cake – a high‑protein by‑product used in animal feed – be incorporated into the formula that sets TBS prices. Currently priced at about Rp2 500 per kg for retail and Rp1 200 per kg at factories, officials argue that counting its economic value would raise the TBS index and increase earnings for growers.

Both developments reflect ongoing efforts by Indonesian palm‑oil stakeholders to stabilize farmer revenues and improve the pricing mechanism for the sector.