65% of Indonesian Palm Oil is for Export, the Rest for Domestic Consumption

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Adi Ahdiat 25/04/2022 15:30 WIB

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In 2021, Indonesia exported 34.23 million tons of palm oil inventory. Domestic consumption amounted to only 18.42 million tons.

Indonesian Palm Oil Consumption by Product Type and Use (2021)

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65% of Indonesian Palm Oil is for Export, the Rest for Domestic Consumption

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Indonesian Palm Oil Consumption by Product Type and Use (2021)

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Throughout 2021, the majority of Indonesia's palm oil supply was used for export.

According to data from the Indonesian Palm Oil Producers Association (GAPKI), Indonesia's total palm oil production in 2021 reached 51.3 million tons.

This production comprised 46.88 million tons of crude palm oil (CPO) and 4.41 million tons of crude palm kernel oil (CPKO).

In addition to production, Indonesia's palm oil supply in 2021 was supplemented by imports of 59,000 tons and beginning stock of 4.86 million tons.

(Read Also: Indonesia's Palm Oil More Widely Used in Non-Food Industries)

Of this total supply, 34.23 million tons of Indonesian palm oil in 2021 were used for export, with the following breakdown:

* Processed CPO exports: 25.7 million tons
* Oleochemical exports: 4.14 million tons
* CPO exports: 2.73 million tons
* Lauric acid exports: 1.48 million tons
* Biodiesel exports: 0.16 million tons

Meanwhile, domestic consumption of palm oil in 2021 was only 18.42 million tons, with the following breakdown:

* Domestic food consumption: 8.95 million tons
* Domestic biodiesel consumption: 7.34 million tons
* Domestic oleochemical consumption: 2.12 million tons

GAPKI recorded total domestic consumption plus exports of Indonesian palm oil in 2021 at 52.65 million tons.

Of this total, the proportion of palm oil for export reached 65%, while domestic consumption was only 35%.

According to the Central Bureau of Statistics (BPS), a similar situation occurred in 2020.

"Most of Indonesia's palm oil production is exported overseas, with the remainder marketed domestically," wrote the BPS in its *Indonesia Palm Oil Statistics 2020* report, updated on Tuesday, March 29, 2022.

Starting in April 2022, President Jokowi banned the export of cooking oil and its raw materials to address the domestic cooking oil shortage that had occurred in recent months.

"I have decided that the government will ban the export of cooking oil raw materials and cooking oil starting Thursday, April 28, 2022, until a date to be determined," said President Jokowi in his press release on Friday, April 22, 2022.

"I will continue to monitor and evaluate the implementation of this policy to ensure that the availability of cooking oil in the country is abundant and affordable," Jokowi continued.

(Read Also: Cooking Oil Exports Halted: These Are the 5 Countries That Were Major Importers of Indonesian CPO)

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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65% of Indonesian Palm Oil is for Export, the Rest for Domestic Consumption

65% of Indonesian Palm Oil is for Export, the Rest for Domestic Consumption

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65% of Indonesian Palm Oil is for Export, the Rest for Domestic Consumption

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