PALMOILMAGAZINE, JAKARTA — Indonesia’s crude palm oil (CPO) production saw a significant decline in May 2025. According to data from the Indonesian Palm Oil Association (GAPKI), national CPO output dropped by 7.01% to 4.165 million tons, down from 4.479 million tons in April. Palm kernel oil (PKO) production also fell to 396,000 tons from 425,000 tons the previous month.
Despite the month-on-month drop, total CPO and PKO production from January to May 2025 reached 22.6 million tons—up 2.08% year-on-year (YoY) compared to 22.14 million tons in the same period of 2024.
Domestic consumption also dipped slightly. GAPKI reported a decline from 2.1 million tons in April to 2.029 million tons in May. The largest decrease was seen in the food sector, where consumption fell 7.81% to 803,000 tons from 871,000 tons.
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Conversely, consumption in the oleochemical sector rose slightly by 2.19% to 187,000 tons from 183,000 tons. Biodiesel usage recorded a minor drop of 0.67%, from 1.046 million tons in April to 1.039 million tons in May.
“With an opening stock of 3.046 million tons at the beginning of May, and combined CPO and PKO production totaling 4.561 million tons, coupled with decreased domestic consumption of 2.029 million tons, exports increased to 2.664 million tons. As a result, the closing stock at the end of May declined to 2.916 million tons,” said GAPKI Executive Director Mukti Sardjono in an official statement received by Palmoilmagazine.com on Friday (July 25, 2025).
These developments reflect the ongoing dynamics in the national palm oil market, influenced by fluctuating domestic demand and shifting global market conditions. (P2)
