Rupiah Weakens, CPO Strengthens: Double Profit for Indonesian Palm Oil Entrepreneurs

JAKARTA, KOMPAS.com - The trend of the rupiah’s depreciation against the US dollar has the potential to bring benefits to palm oil entrepreneurs. Amid pressures on the import sector and industries reliant on foreign raw materials, export-based sectors including the palm oil industry are poised to reap profits. The rupiah exchange rate against the US dollar in the spot market closed today, Wednesday (15/4/2026), at Rp17,143 per US dollar. Meanwhile, the palm oil industry trended positively in 2025. Data shows that Indonesia’s palm oil export performance remained strong, even tending to increase. With trade characteristics dominated by transactions in US dollars, the rupiah’s weakening has the potential to boost the income of palm oil business players in rupiah terms. Export volume increased in 2025 to 32.343 million tonnes with a value of $35.868 million. That volume strengthened by 9.51 percent year-on-year compared to the same period last year. Previously, palm oil exports fell to 29.535 million tonnes in 2024 with a value of $27.756 million. That value rose 29 percent year-on-year compared to the same period last year. GAPKI Secretary General Hadi Sugeng Wahyudiono said exports to several countries experienced increases such as Africa up 991,000 tonnes, China 644,000 tonnes, Malaysia 516,000 tonnes, Bangladesh 503,000 tonnes, and Pakistan 214,000 tonnes. “We are down to India, the EU, and then the USA. Yes, that might also be in India besides India’s economic conditions, there is likely also a shift in vegetable oils,” Hadi stated.