PALMOILMAGAZINE, JAKARTA — The Indonesian government has revised its export levy policy on plantation commodities, particularly palm oil. Through Minister of Finance Regulation (PMK) No. 30 of 2025, the Ministry of Finance introduced a new levy structure for the Public Service Agency (BLU) under the Plantation Fund Management Agency (BPDP). This adjustment reflects ongoing changes in reference prices and the government’s push to boost value-added production in the national plantation sector.
Under the new regulation, levies on various palm oil products have increased. Crude Palm Oil (CPO), which was previously subject to a 7.5% levy in group two, is now levied at 10%. Downstream products such as Crude Palm Olein, in group three, increased from 6% to 9.5%. Meanwhile, refined products like Refined Bleached and Deodorized (RBD) Palm Olein and Super Olein, in group four, now carry a levy of 7.5%, up from 4.5%.
According to the regulation reviewed by beige-heron-208544.hostingersite.com on Wednesday (May 28, 2025), the new policy takes effect three days after its issuance and officially revokes PMK No. 62 of 2024. The government states that the revised levies aim to ensure more adaptive and transparent fund management from plantation export proceeds.
New Export Levy Structure by Product Group
The updated levy rates are now more detailed and based on product categories. Rates are determined in accordance with the reference price of CPO set by the Ministry of Trade.
Group One (0%–25%)
- 0%: Fresh Fruit Bunches (FFB)
- 25%: Palm kernels, oil palm fruit, and palm kernel meal
- 15%: Empty fruit bunches
- 3%: Palm shells
Group Two (10%)
Includes raw palm oil products:
- Crude Palm Oil (CPO)
- Low Free Fatty Acid CPO
- Palm Mesocarp Oil
- Red Palm Oil
- Degummed Palm Mesocarp Oil
- Crude Palm Kernel Oil (CPKO)
- Palm Oil Mill Effluent Oil
- Empty Fruit Bunch Oil
- High Acid Palm Oil Residue
All are now levied at 10%
Group Three (9.5%)
Intermediate products:
- Crude Palm Olein
- Crude Palm Stearin
- Crude Palm Kernel Olein
- Crude Palm Kernel Stearin
- Palm Fatty Acid Distillate (PFAD)
- Palm Kernel Fatty Acid Distillate (PKFAD)
- Split-based crude products
- Used Cooking Oil
- Soap Stock
- Glycerine Water
All are levied at 9.5%
Group Four (7.5%)
Refined products:
- RBD Palm Olein (including Super Olein)
- RBD Palm Oil (including Inedible RBD Palm Oil)
- RBD Palm Stearin (including Palm Mid Fraction)
- RBD Palm Kernel Oil
- RBD Palm Kernel Olein (including Super PK Olein)
- RBD Palm Kernel Stearin (including PK Mid Fraction)
- Refined POME Oil
- Refined EFB Oil
- Refined High Acid Palm Oil Residue
- Refined Palm Acid Oil
- Refined Used Cooking Oil
- Refined Technical Oils
- All variants of Split RBD-based refined products
All now incur a 7.5% levy
The regulation also recognizes all existing agreements and partnerships between BPDPKS and its partners signed before PMK 30/2025 came into effect. These agreements will remain valid until their original expiry dates.
Additionally, any levies collected under the previous regulation PMK 62/2024—from January 17, 2025, up until this new regulation takes effect—are officially acknowledged as valid revenue for the BPDPKS.
This revised policy is seen as a strategic tool to accelerate downstream development of palm oil and other plantation commodities. By adjusting tariffs based on product value-added, the government hopes to encourage producers—especially farmers and exporters—to move toward higher-value derivatives.
The preamble of PMK 30/2025 outlines its main goals: boost productivity, increase added value of plantation products, and create broader fiscal space to fund development programs for farmers and the downstream industry. (P2)
Regulation PMK 30/2025 Issued: Government Raises Export Levy on Palm Oil Products Managed by BPDP — Here’s the Breakdown
PALMOILMAGAZINE, JAKARTA — The Indonesian government has revised its export levy policy on plantation commodities, particularly palm oil. Through Minister of Finance Regulation (PMK) No. 30 of 2025, the Ministry of Finance introduced a new levy structure for the Public Service Agency (BLU) under the Plantation Fund Management Agency (BPDP). This adjustment reflects ongoing changes in reference prices and the government’s push to boost value-added production in the national plantation sector.
Under the new regulation, levies on various palm oil products have increased. Crude Palm Oil (CPO), which was previously subject to a 7.5% levy in group two, is now levied at 10%. Downstream products such as Crude Palm Olein, in group three, increased from 6% to 9.5%. Meanwhile, refined products like Refined Bleached and Deodorized (RBD) Palm Olein and Super Olein, in group four, now carry a levy of 7.5%, up from 4.5%.
According to the regulation reviewed by beige-heron-208544.hostingersite.com on Wednesday (May 14, 2025), the new policy takes effect three days after its issuance and officially revokes PMK No. 62 of 2024. The government states that the revised levies aim to ensure more adaptive and transparent fund management from plantation export proceeds.
New Export Levy Structure by Product Group
The updated levy rates are now more detailed and based on product categories. Rates are determined in accordance with the reference price of CPO set by the Ministry of Trade.
Group One (0%–25%)
- 0%: Fresh Fruit Bunches (FFB)
- 25%: Palm kernels, oil palm fruit, and palm kernel meal
- 15%: Empty fruit bunches
- 3%: Palm shells
Group Two (10%)
Includes raw palm oil products:
- Crude Palm Oil (CPO)
- Low Free Fatty Acid CPO
- Palm Mesocarp Oil
- Red Palm Oil
- Degummed Palm Mesocarp Oil
- Crude Palm Kernel Oil (CPKO)
- Palm Oil Mill Effluent Oil
- Empty Fruit Bunch Oil
- High Acid Palm Oil Residue
All are now levied at 10%
Group Three (9.5%)
Intermediate products:
- Crude Palm Olein
- Crude Palm Stearin
- Crude Palm Kernel Olein
- Crude Palm Kernel Stearin
- Palm Fatty Acid Distillate (PFAD)
- Palm Kernel Fatty Acid Distillate (PKFAD)
- Split-based crude products
- Used Cooking Oil
- Soap Stock
- Glycerine Water
All are levied at 9.5%
Group Four (7.5%)
Refined products:
- RBD Palm Olein (including Super Olein)
- RBD Palm Oil (including Inedible RBD Palm Oil)
- RBD Palm Stearin (including Palm Mid Fraction)
- RBD Palm Kernel Oil
- RBD Palm Kernel Olein (including Super PK Olein)
- RBD Palm Kernel Stearin (including PK Mid Fraction)
- Refined POME Oil
- Refined EFB Oil
- Refined High Acid Palm Oil Residue
- Refined Palm Acid Oil
- Refined Used Cooking Oil
- Refined Technical Oils
- All variants of Split RBD-based refined products
All now incur a 7.5% levy
The regulation also recognizes all existing agreements and partnerships between BPDPKS and its partners signed before PMK 30/2025 came into effect. These agreements will remain valid until their original expiry dates.
Additionally, any levies collected under the previous regulation PMK 62/2024—from January 17, 2025, up until this new regulation takes effect—are officially acknowledged as valid revenue for the BPDPKS.
This revised policy is seen as a strategic tool to accelerate downstream development of palm oil and other plantation commodities. By adjusting tariffs based on product value-added, the government hopes to encourage producers—especially farmers and exporters—to move toward higher-value derivatives.
The preamble of PMK 30/2025 outlines its main goals: boost productivity, increase added value of plantation products, and create broader fiscal space to fund development programs for farmers and the downstream industry. (P2)
