Palm News – Total Indonesian palm oil exports in 2021 are projected to decline

InfoSAWIT, JAKARTA – Indonesia’s palm oil exports and production are expected to decline for the second year in a row in 2021. This drop in production was due to production problems resulting from the use of less fertilizer and less than optimal plantation maintenance.

According to the deputy chairman of the Indonesian Palm Oil Association (GAPKI), Togar Sitanggang, total palm oil exports in 2021 will for the second time in two consecutive years be 0.34% year-on-year in the webinar “Opportunities and Challenges for Palm Oil Producer Countries (OCOPOP ) ”, Organized by the Council of Palm Oil Producer Countries (CPOPC), at InfoSAWIT, Tuesday (23.11.2021).

Meanwhile, Indonesia’s crude palm oil (CPO) exports are estimated to decline 60.5% this year compared to 2020, as India’s main consumer prefers refined products instead.

Togar said the general decline in exports was mainly due to a decline in CPO deliveries. “India kind of prefers refined palm oil and exports of refined palm oil products appear to have increased 22.2% over the year,” he said.

It should be noted that this is the second time GAPKI has revised its export outlook for 2021.

GAPKI estimates that total palm oil exports will increase 1.2% in October 2021, despite CPO exports falling 54.4% this month.

Then the decline in CPO exports is in line with the country’s goal of completely halting CPO exports while increasing supplies of high quality palm oil. (T2)