Ministry of Agriculture: Palm Oil Production Projected to Increase by 2.92% in 2021

Data from the Indonesian Ministry of Agriculture's (Kementan) plantation statistics show that the estimated production of palm oil in the form of Crude Palm Oil (CPO) reached 49.7 million tons in 2021. This is a 2.92% increase compared to 2020, which was 48.3 million tons.

Based on the type of ownership, the largest palm oil production came from large private companies, reaching 30.72 million tons in 2021. Production increased by 3.07% compared to 29.8 million tons in 2020.

Meanwhile, production from smallholder plantations was recorded at 16.75 million tons, a 2.72% increase. Palm oil production from large state-owned companies amounted to 2.2 million tons, a 2.36% increase.

This is consistent with the area cultivated. The majority of palm oil in Indonesia is cultivated by large private companies, with an estimated area of 30.7 million hectares in 2021.

Meanwhile, the area cultivated by smallholder plantations is 16.75 million hectares. The area of large state-owned plantations is recorded at 579,600 hectares.

Furthermore, Kementan has recorded a continuous increase in palm oil production in the form of CPO since 1980. From 1980 to 2021, the average annual growth rate of palm oil production was 11.13%.