Indonesia’s palm oil production set to rise 10% in 2025

in 2024–2025 has been optimal, with no prolonged rainfall, and high prices last year motivated farmers to improve plantation management. This provides optimism for higher yields compared to the previous year. The association revised its annual forecast from 53.63 million tonnes to 56–57 million tonnes. A production level of 57 million tonnes would represent an 8% increase over 2024. At the same time, Indonesia’s palm oil exports are expected to rise to 30–31 million tonnes, up from 29 million tonnes in 2024, offsetting growing domestic demand driven by the B40 biodiesel program, which increased the mandatory blending rate to 40%. In August 2025, palm oil stocks in Indonesia fell slightly to 2.54 million tonnes, down 1% from the previous month. Crude palm oil production reached 5.06 million tonnes, while palm oil exports totaled 3.47 million tonnes, a 1.8% decrease from July. For 2026, GAPKI forecasts an additional 5% ...