PALMOILMAGAZINE, JAKARTA – Indonesia’s Ministry of Trade has set the July 2026 reference price (HR) for crude palm oil (CPO) at USD 1,000.90 per metric ton (MT), marking a decline of USD 28.61, or 2.78%, from the June 2026 reference price of USD 1,029.51 per MT.
The lower reference price serves as the basis for determining export duties and the export levy collected by the Public Service Agency of the Plantation Fund Management Agency (BPDP).
Director General of Foreign Trade at the Ministry of Trade, Tommy Andana, said the decline reflects developments in global palm oil markets, which serve as the benchmark for calculating export duties and levies.
Also Read: Indonesia Sets June CPO Reference Price at USD 1,029.51/MT Amid Softer Global Demand
According to Tommy, weaker global demand—particularly from India, one of the world’s largest palm oil importers—has contributed to downward pressure on prices. Lower global crude oil prices have also weighed on vegetable oil markets internationally.
“The July 2026 CPO reference price declined compared to the previous period. In accordance with existing regulations, the government has set the export duty at USD 148 per MT and the export levy at 12.5% of the reference price, equivalent to USD 125.11 per MT,” he said.
The July export duty rate refers to Ministry of Finance Regulation No. 38/2024, as amended by Regulation No. 68/2025, which stipulates an export duty of USD 148 per MT.
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Meanwhile, the export levy collected by BPDP has been set at 12.5% of the CPO reference price, equal to USD 125.11 per MT, in accordance with Ministry of Finance Regulation No. 69/2025 and Regulation No. 9/2026.
The reference price was calculated using average CPO prices recorded between May 20 and June 19, 2026. The price references included the Indonesian CPO Exchange at USD 890.84 per MT, the Malaysian CPO Exchange at USD 1,110.97 per MT, and the Rotterdam market at USD 1,468.28 per MT.
Under Trade Ministry Regulation No. 35/2025, when the price difference among the three reference markets exceeds USD 40, the government uses the median price and the price closest to the median to determine the official reference price.
Also Read: Palm Oil as a Renewable Natural Resource
As a result, the July 2026 CPO reference price was calculated using prices from the Malaysian CPO Exchange and the Indonesian CPO Exchange, producing a final reference price of USD 1,000.90 per MT.
Separately, refined, bleached, and deodorized (RBD) palm olein sold in branded retail packaging of up to 25 kilograms remains subject to an export duty of USD 33 per MT. The list of eligible brands is stipulated under Trade Minister Decree No. 1503/2026.
The provisions governing the CPO reference price as well as export benchmark prices for other agricultural and forestry commodities are contained in Trade Minister Decree No. 1502/2026 on Export Benchmark Prices and Reference Prices for Agricultural and Forestry Products Subject to Export Duties and Public Service Agency Levies. (P3)
