Ministry of Industry Accelerates ISPO Certification for Downstream Palm Oil Industry through KAN

Jakarta (ANTARA) - The Ministry of Industry (Kemenperin) is accelerating the implementation of Indonesian Sustainable Palm Oil (ISPO) certification in the downstream palm oil industry through the National Accreditation Committee (KAN) accreditation scheme, to strengthen sustainable governance and enhance global competitiveness.

In a statement confirmed in Jakarta on Saturday, Minister of Industry Agus Gumiwang Kartasasmita stated that his side supports sustainable governance of the downstream palm oil industry through the implementation of Indonesian Sustainable Palm Oil Certification for the Downstream Palm Oil Industry (SIPO Hilir).

This step is also part of strategic efforts to maintain sustainability while expanding acceptance of Indonesian palm oil products in international markets, given that the agro industry, including the palm oil industry, remains a primary driver of national economic transformation.

“Positive performance is also shown by the agro-industrial sector through the Manufacturing Confidence Index (IKI) for March 2026, which remains in the expansion phase at 51.86,” he said.

“With an area of more than 16 million hectares and crude palm oil (CPO) production reaching 51.66 million tonnes in 2025, this sector plays a strategic role in Indonesia’s economy,” he added.

Furthermore, Acting Director General of Agro Industry Putu Juli Ardika revealed that the export value of palm oil and its derivatives in 2025 reached $44.65 billion, with imports of $1.417 billion, resulting in a trade balance surplus of $43.23 billion.

“This achievement is concrete evidence of the success of downstreaming policies in increasing added value and creating a multiplier effect for the economy. The palm oil sector also contributes significantly to job absorption for 16.5 million people, both directly and indirectly,” said Putu.