PEKANBARU - The price of fresh fruit bunches (FFB) of oil palm from independent smallholders in Riau Province has dropped significantly for the period of May 21 to 27, 2025.

The latest data released by the Riau Provincial Plantation Office shows that the highest price is for 9-year-old palm trees, which decreased by Rp229.45 per kilogram.

The Head of Processing and Marketing at the Riau Plantation Office, Dr. Defris Hatmaja, explained that this represents a 6.45% decrease compared to the previous week.

“As a result, the farmers’ FFB selling price has fallen to Rp3,328.05 per kilogram, with shell prices at Rp25.67 per kilogram,” said Defris Hatmaja on Tuesday, May 20, 2025.

For this price-setting period, the K index used is 92.42% for the next month. Defris further explained that the selling price of Crude Palm Oil (CPO) this week dropped by Rp645.67 per kilogram, while the price of palm kernel saw a sharp drop of Rp1,789.00 per kilogram compared
to last week.

“Some palm oil mills did not sell this week. According to the Ministry of Agriculture Regulation Number 01 of 2018, Article 8, the prices used for CPO and kernel are based on the average team price. If the CPO or kernel price is affected by two validations, then the average price from KPBN is used,” Defris explained.

He added that the average KPBN CPO price for this period is Rp13,335.33 per kilogram, while the kernel price still uses last week’s KPBN average of Rp13,988.00 per kilogram.

According to Defris, this week’s price drop is mainly due to falling CPO and kernel prices in the market.

Even so, he emphasized that improving the pricing governance system is a serious effort by all stakeholders, fully supported by the Riau Provincial Government and the Riau High Prosecutor’s Office.

“This shared commitment will eventually lead to increased farmer income, which supports overall community welfare,” he concluded.

Here are the independent smallholder FFB prices in Riau Province (Decision No. 16) for the period of May 21–27, 2025:
3 years: Rp2,580.61
4 years: Rp2,875.87
5 years: Rp3,084.18
6 years: Rp3,202.28
7 years: Rp3,274.57
8 years: Rp3,313.95
9 years: Rp3,328.05
10–20 years: Rp3,294.43
21 years: Rp3,239.98
22 years: Rp3,177.00
23 years: Rp3,105.38
24 years: Rp3,051.08
25 years: Rp3,006.62
Author: Sri Wahyuni
Editor: M Iqbal