This is the area of productive oil palm plantations in 2021.

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Viva Budy Kusnandar 26/04/2022 11:20 WIB

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Indonesia's palm oil plantation area reached 15.08 million hectares in 2021.

Area of Productive Oil Palm Plantations by Ownership Status (2021*)

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Area of Productive Oil Palm Plantations by Ownership Status (2021*)

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Indonesia is the world's largest producer and exporter of palm oil.

According to the 2019-2021 National Superior Plantation Statistics report from the Directorate General of Plantation of the Ministry of Agriculture, the total area of palm oil plantations in Indonesia reached 15.08 million hectares (ha) in 2021.

However, only 12.59 million ha, or 83% of the total area, are categorized as productive or producing plants (TM).

The breakdown of the productive palm oil land area (TM) based on business status in 2021 is as follows:

* Private large-scale plantations: 7.25 million ha
* Peasant plantations: 4.83 million ha
* State-owned large-scale plantations: 506,700 ha

From this productive land, the Directorate General of Plantation estimates that Indonesia's total palm oil production reached 49.71 million tons in 2021, with the following breakdown:

* Production from private large-scale plantations: 30.72 million tons (61.82%)
* Production from peasant plantations: 16.75 million tons (33.71%)
* Production from state-owned large-scale plantations: 2.22 million tons (4.48%)

According to data from the Indonesian Palm Oil Association (GAPKI), in 2021, the majority of Indonesia's palm oil supply was used for export.

However, starting April 28, 2022, President Joko Widodo banned the export of cooking oil and palm oil derivative products used as raw materials due to a shortage and price increase in the cooking oil market since the beginning of 2022.

Before the export ban, the government had increased the mandatory supply obligation for palm oil producers to meet domestic market needs (domestic market obligation/DMO) from 20% to 30%.

The government also temporarily set a Highest Retail Price (HET) for bulk cooking oil at Rp11,400 per liter, HET for simple packaged cooking oil at Rp13,500 per liter, and HET for premium packaged cooking oil at Rp14,000 per liter.

However, this HET policy was later revoked by the Minister of Trade Regulation (Permendag) Number 11 of 2022. This latest regulation stipulates that the HET for bulk cooking oil is Rp14,000 per liter, while the price of packaged cooking oil is left to market mechanisms.

Editor : Adi Ahdiat

"Disclosure: This is an AI-generated translation of the original article. We strive for accuracy, but please note that automated translations may contain errors or slight inconsistencies."

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This is the area of productive oil palm plantations in 2021.

This is the area of productive oil palm plantations in 2021.

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