PALMOILMAGAZINE, PADANG – Fresh fruit bunch (FFB) prices for oil palm growers in West Sumatra declined during the second pricing period of June 2026 (June 8–14), reflecting adjustments in key pricing components used to calculate grower returns.
According to the West Sumatra FFB Pricing Team, the benchmark price for oil palm trees aged 10–20 years was set at IDR 3,684.78 per kilogram, down IDR 170.53 per kilogram from the previous period.
Despite the correction, FFB prices in the province remained above the IDR 3,600/kg level for productive plantations, indicating continued resilience in the sector amid fluctuating market conditions.
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For the latest pricing period, the reference crude palm oil (CPO) price was established at IDR 14,357.99 per kilogram, while palm kernel prices reached IDR 13,696.00 per kilogram. Shell prices were set at IDR 17.25 per kilogram, and the K index used in the pricing formula stood at 92.60%.
Data from the West Sumatra Plantation, Food Crops and Horticulture Agency showed that FFB from three-year-old palms was priced at IDR 2,884.34 per kilogram, while four-year-old palms were valued at IDR 3,050.49 per kilogram. Prices for trees aged five, six, seven, and eight years were set at IDR 3,232.97, IDR 3,338.23, IDR 3,470.90, and IDR 3,600.57 per kilogram, respectively.
Meanwhile, FFB from nine-year-old palms reached IDR 3,673.55 per kilogram. The highest benchmark category, covering palms aged 10–20 years, was recorded at IDR 3,684.78 per kilogram.
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For older plantations, prices were set at IDR 3,539.49 per kilogram for 21-year-old palms, IDR 3,533.92 per kilogram for 22-year-old palms, and IDR 3,480.86 per kilogram for 23-year-old palms.
Prices continued to decline for aging plantations, with 24-year-old palms valued at IDR 3,319.52 per kilogram and 25-year-old palms at IDR 3,284.09 per kilogram.
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The latest adjustment highlights the ongoing influence of CPO and palm product market movements on grower prices. Nevertheless, the palm oil sector remains a vital pillar of West Sumatra’s economy, providing income and livelihoods for thousands of smallholders across the province. (P3)
