Beyond the traditional: oil palm has untapped potential

Oil palm plantations have contributed significantly to the Indonesian economy by producing traditional products, which mainly include crude palm oil (CPO) and palm kernel oil (PKO). But in fact, oil palm trees have many other potential that has not been fully exploited so far.

This is the conclusion drawn from a public discussion entitled “Strategy for Promoting the Development of Palm Oil Manufacturing Industries in the Food and Energy Sectors in Indonesia”, which was part of the 2025 Workshop for Journalists Specialized in Palm Oil Processing Industries.

The workshop was organized by the Farm Fund Management Authority (BPDP) in cooperation with the Majalah Sawit Indonesia weekly magazine in Bogor from 21 to 23 February 2025. The event was also supported by the Indonesian Palm Oil Association (GAPKI), the Indonesian Vegetable Oil Industry Association (GIMNI), the Association of Indonesian Biofuel Producers (APROBI), and the Indonesian Palm Oil Association (DMSI).

The workshop was attended by prominent speakers, including:

• Eddie Wibowo, Director of Bioenergy at the Ministry of Energy and Mineral Resources (KESDM).
• RAPULU HOTAPARAT, head of the sustainability department at APROBI.
• Fini Sofyan, head of the communications department at GAPKI.
• Dr. Gulat M.E. Manorong, President of APKASINDO.
• Sahat Sinaga, the CEO of GIMNI.
• Dr. Darmono Tanyorino, President of MAKSI.

The untapped potential of oil palm

During the workshop, Dr. Darmono Tanyorino, President of MAKSI, confirmed that oil palm trees have a huge potential compared to other vegetable oils. He said:
“Manufacturing can be achieved starting from the initial stages by exploiting vital waste from oil palm, such as empty bunch fibers that can be converted into black pellets, fibers that serve as animal feed, scales that can be used as fodder for larvae, palm leaves from which palm syrup can be extracted, in addition to palm trunks that can be used to produce sugar.”

He added: “Oil palm trees are more productive than other vegetable oils. There are many transformative products that can be processed from the initial stages of production, but most of them are currently wasted and unexploited.”

He noted that crude palm oil (CPO) and palm kernel oil (PKO) account for only 20% of the total potential of oil palm trees, while most other resources are untapped. He also compared oil palm trees to other oil plants or forest trees such as acacia, stressing that oil palm has higher productivity and wider potential.

He went on to say: “In the future, oil palm can be exploited within the agroforestry system. Palm leaves can also be used as a source of bioenergy and supplied to the National Electricity Company (PLN). For example, Gellericidia Sepium tree plantations cover an area of only 30,000 hectares to supply PLN with energy, while oil palm plantations extend over an area of 16.38 million hectares, which is an underutilized potential. So, our production should not be limited to palm oil only.”

Palm oil and its nutritional benefits

Tanorino stated that palm oil has a rich formula that includes:

• 45-55% oil
• 30-45% water
• 10-20% fiber
• Less than 1% polyphenols and phenols
• 0.5-1% minerals
• In addition to carbohydrates and other compounds

He also explained that in Africa, palm oil is consumed in its virgin red form (Virgin Red Palm Oil), which has a very high content of vitamin A. He said: “Its nutritional formula even includes omega-9, omega-6 and omega-3 acids, along with beta-carotene and vitamin E.”

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(SawitIndonesia.com)

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