Indonesian Palm Oil Farmers Hit by Sharp Drop in Fresh Fruit Bunch Prices

INDONESIA, ProBorneo.id – Indonesian palm oil farmers are reporting mounting pressure from a sharp decline in the price of Fresh Fruit Bunches (FFB) over the past few days.

The fall has weighed heavily on growers, particularly those who depend on palm harvests to meet daily living expenses.

Ali, a palm oil farmer from Kotabesi, said the price of palm fruit has dropped drastically from Rp 3,390 per kilogram to Rp 2,520 per kilogram. When asked where he sells his crop, Ali said he delivers it to PT Agro Indomas.

“A few days ago the price was still Rp 3,390, now it’s down to Rp 2,520. We really feel it as farmers,” he told ProBorneo.id while refueling on Jalan Jenderal Sudirman KM 65 on Friday, May 22.

Ali urged both the government and companies to pay attention to the situation so that TBS prices can stabilize and stop falling to levels that hurt farmers.

He added that the price drop has also cut into farmers’ income at a time when household costs keep rising. In addition to regular plantation maintenance, farmers must cover transport fees and labor wages, which are not small expenses.

Other farmers in the Seruyan area also called for greater transparency in how palm oil prices are set, so they can understand what is driving the decline at the mill level. They hope prices will recover soon to keep the local economy, which relies heavily on the plantation sector, stable.