Indonesia pushes palm‑oil fresh‑fruit price up, eyes 300 firms for price compliance

Minister of Agriculture Andi Amran Sulaiman said the price of fresh fruit bunches (TBS) of palm oil should rise about 10 % as the rupiah weakens to roughly Rp 18,000 per US $. He called the recent price drop an “anomaly” because the weaker currency should have lifted export‑linked farm prices. In a coordination meeting with palm‑oil growers, associations, police food‑safety teams and the crime‑investigation directorate, officials agreed to restore TBS prices to previous provincial levels.

The government plans to examine roughly 300 of the 1,900 palm‑oil firms that have not yet adjusted their purchase prices, referring the cases to police and the competition watchdog for possible cartel investigation. The move aims to protect an estimated 15 million palm‑oil farmers who depend on stable TBS earnings. About 70 % of the regional TBS prices have already begun to recover after the meeting.

Amran also highlighted the sector’s export strength, noting that Indonesia supplies more than 60 % of global crude palm oil, with export values jumping 26 % year‑on‑year to US $4.7 billion in early 2026. The ministry intends to use the favourable exchange‑rate environment to boost agricultural exports and improve farmer welfare.