InfoSAWIT, JAKARTA – The price of crude palm oil (CPO) at PT Kharisma Pemasaran Bersama Nusantara (KPBN) Inacom was set at IDR 15,050/kg on Tuesday (March 18, 2025), marking a decrease of 0.33% or a drop of around IDR 50/kg compared to the CPO price on Monday (March 17, 2025), which was set at IDR 15,100/kg.

According to information obtained by InfoSAWIT from KPBN, the CPO price for Franco Belawan and Dumai was set at IDR 15,050/kg. Meanwhile, the CPO price for Loco Sei Tapung opened at IDR 14,811/kg but experienced a withdrawal (WD), with the highest offer price at IDR 14,424/kg.

Meanwhile, as reported by Reuters, the Indonesian government will increase the export tariff for crude palm oil (CPO) to 4.5% to 10% of the reference price, up from the previous 3% to 7.5%. This move aims to support funding for increasing the use of palm oil in biodiesel blends, according to officials from the Palm Oil Plantation Fund Management Agency (BPDPKS) on Tuesday (March 18, 2025).

This year, Indonesia has raised the mandatory blending of palm oil in biodiesel to 40% (B40) from the previous 35% (B35). The government is also reviewing an increase in the biodiesel blend to 50% (B50) by 2026 and the implementation of a 3% blend for sustainable aviation fuel (SAF) next year, to reduce dependence on fossil fuel imports.

BPDPKS Director Kabul Wijayanto stated that the new tariff will take effect three days after the regulation is published. Currently, the regulation is in the finalization stage at the Ministry of Law and Human Rights.

According to Kabul, BPDPKS targets to distribute biodiesel subsidy funds of IDR 35.47 trillion (approximately USD 2.15 billion) this year. The plan to raise the CPO export tariff to 10% from 7.5% was announced by the government at the end of last year, but it has not yet been implemented.

Here are the details of the KPBN Tender results (IDR/kg), Excld VAT for the period of Tuesday (March 18, 2025):

CPO_____

Franco Belawan & Dumai IDR 15,050-MM, IBP, KJA

Loco Sei Tapung IDR 14,811 (WD). Highest offer IDR 14,424-WNI

Loco Pelaihari IDR 14,496 (WD). Highest offer IDR 13,700-WNI

CPKO_____

Franco Belawan IDR 28,625-MM

(T2)