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Indonesia has approved full membership for the Republic of Congo in the Council of Palm Oil Producing Countries (CPOPC), potentially making it the first African nation to join the group that aims to unite producers of this commodity worldwide.
Coordinating Minister Airlangga Hartarto announced on Wednesday evening that he had signed a circular letter approving Congo's accession as a full member of the CPOPC. The letter still requires signatures from the other members — Malaysia, Honduras and Papua New Guinea.
A press statement from Indonesia's Coordinating Ministry for Economic Affairs said: "Congo was a guest country and an observer at the CPOPC before becoming a full member. Congo is set to become the first African country to attain full membership status. Congo's presence in the group will strengthen the CPOPC's standing on the global stage... and expand the organisation's influence in the global palm oil market."
Indonesia said it believes Congo's membership could help the group address trade barriers, though Jakarta did not specify which obstacles it was referring to. CPOPC members have, however, criticised the European Union's anti-deforestation regulation, which they fear could negatively affect palm oil exports bound for Europe. Jakarta also said Congo's membership could "pave the way for a more inclusive palm oil industry in Africa."
Indonesia and Malaysia — which together account for more than 80 percent of global palm oil supply — established the CPOPC in 2015. Honduras joined the council roughly three years later. Papua New Guinea was the most recent member to join before Congo, with Port Moresby joining the group at the end of 2024 after submitting a formal application in 2020.
Nigeria and Ghana are currently observer states in the group.
In 2023, the area of land planted with oil palm in Congo stood at 340,000 hectares, producing 2.2 million fresh fruit bunches. The sector employs at least 54,000 workers in the palm oil industry.
Amid the expansion of the CPOPC group, Indonesia is currently seeing a decline in its palm oil exports. According to the Central Statistics Agency (BPS), Indonesia exported crude palm oil and its derivatives worth $1.44 billion in January. This represents a 24.1 percent decrease compared with December 2024 exports, which totalled $1.89 billion.
Source: Al Mal Forum