IPOSS Insights | September - October 2026

The Indonesian palm oil industry enters 2027 with pressures and opportunities coming from various directions. The risk of El Niño begins to overshadow production prospects, while the strengthening of CPO contract prices indicates that the market is starting to factor in the possibility of tighter supply amid increasing domestic demand for biodiesel. At the same time, the IEU-CEPA opens new opportunities for Indonesian palm oil exports to the European Union, although the benefits remain dependent on the ability to meet sustainability, legality, and traceability demands. The eighteenth edition of IPOSS Insights discusses how the palm oil industry needs to interpret climate change, maintain supply and demand balance, and leverage new market opportunities to strengthen competitiveness towards 2027.