Indonesian Palm Oil Output Down in December 2024

Data from the Indonesian Palm Oil Association (GAPKI) showed the country’s production of palm oil fell 10.6% to 3,876 thousand MT from 4,333 thousand MT in November and a slower fall by 3.0% from 3,996 thousand MT in December year-earlier.  Likewise, production of palm kernel oil declined to 361 thousand MT from 412 thousand MT in November (-12.4%) and 380 thousand MT in December year-ago (-5.0%). The cumulative figure for calendar year 2024 of palm oil at 48,164 thousand MT was 3.8% short of the previous year at 50,069 thousand MT. Palm kernel oil similarly reduced output during the year by 3.7% at 4,598 thousand MT from 4,775 thousand MT.

Domestic consumption of palm oil and palm kernel oil, however, increased in December to 2,187 thousand MT from 2,030 thousand MT in November (+7.7%) and 1,995 thousand MT in December year-earlier (+9.6%).  The increase in consumption was in food, biodiesel and oleochemical.  Total consumption for the year was 23,859 thousand MT, above 2.8% from 23,213 MT in 2023.  Food consumption at 10,205 thousand MT, was slightly off by 0.9% from 2023 at 10,298 thousand MT; for biodiesel at 11,447 thousand MT was 7.5% higher from 10,647 thousand MT while for oleochemicals slightly dropped at 2,207 thousand MT from 2,268 thousand MT.  

Total exports in December reached 2,060 thousand MT, which were 21.9% lower than the exports in November at 2,637 thousand MT. The biggest drop was seen to India at 246 thousand MT, followed by exports to China at 39 thousand MT. January-December exports at 29,535 thousand MT declined by 8.3% from 32,215 thousand MT in 2023. The biggest drop was seen to China at 2,381 thousand MT, to India at 1,136 thousand MT, to Bangladesh, Malaysia, USA and EU in smaller quantities. On the other hand, the biggest increase was seen to Pakistan at 486 thousand MT and Middle East at 164 thousand MT, while to Russia and several other countries rose but in smaller quantities.