Indonesian Palm Oil News (IPO News), Jakarta — Fresh Fruit Bunch (FFB) prices in several major palm oil-producing regions of Indonesia remained at relatively high levels during the third week of September 2026. In several areas, FFB prices have even surpassed and remained above IDR 4,000 per kilogram.

Provincial government pricing data shows that North Sumatra is among the regions recording the highest FFB prices. For the period of September 16–22, 2026, the FFB price for plasma smallholders aged 10–20 years was set at IDR 4,066.20 per kg. The highest price across the age categories reached IDR 4,069.96 per kg for plantations aged 21 years.

Although remaining above IDR 4,000 per kg, the price declined slightly from the previous period. The decrease was around IDR 11–13 per kg, in line with changes in the prices of palm oil products, which are among the key components used in determining FFB prices.

During the same period, the average local and export CPO price in North Sumatra was recorded at IDR 16,202.91 per kg, while the average local palm kernel price reached IDR 13,797.44 per kg. The K factor used in the FFB price calculation was set at 93.74%.

Riau Prices Decline as CPO Prices Weaken

A different movement was recorded in Riau Province. For plasma smallholders during the September 16–22, 2026 period, the FFB price for nine year old plantations stood at IDR 3,976.56 per kg, down IDR 17.54 per kg from the previous period.

For independent smallholders, the FFB price for nine year old plantations was set at IDR 3,912.24 per kg, down IDR 31.22 per kg. The decline was mainly attributed to weaker CPO prices. During the period, the CPO selling price decreased by IDR 221.76 per kg compared with the previous week.

The difference between plasma and independent smallholder prices also highlights the importance of pricing mechanisms and partnership arrangements in determining the value received by farmers for their FFB.

West Sumatra and Jambi Remain at Relatively High Levels

In West Sumatra, FFB prices moved in the opposite direction and increased. For the period of September 15–21, 2026, FFB for plantations aged 10–20 years reached IDR 4,042.71 per kg, up IDR 15.06 per kg from IDR 4,027.65 per kg in the previous period.

Meanwhile, in Jambi, FFB prices for the September 18–24, 2026 period experienced a correction. For plantations aged 10–20 years, the price was set at IDR 3,914.66 per kg, down IDR 36.02 per kg from IDR 3,950.68 per kg previously.

Under the latest Jambi pricing formula, the average CPO price was recorded at IDR 15,379.81 per kg, while the average palm kernel price reached IDR 13,535.64 per kg, with a K factor of 93.64%.

FFB Prices Remain a Key Industry Indicator

The movement of FFB prices in September shows that prices received by smallholders remain closely linked to CPO and other palm oil product prices. When CPO prices come under pressure, FFB prices generally tend to follow. Conversely, stronger palm oil product prices can provide room for FFB prices to increase.

With several major producing regions still recording prices in the range of approximately IDR 3,900–4,000 per kg, current FFB prices remain an important factor for smallholder income and economic activity in palm oil-producing areas.

For the palm oil industry, FFB price developments also deserve close attention because they are directly related to raw material costs at palm oil mills, smallholder income, and purchasing power in plantation communities.

According to Indonesian Palm Oil News (IPO NEWS), FFB price movements in September 2026 indicate that Indonesia’s domestic palm oil market remains at relatively strong price levels, although corrections have begun to emerge in several provinces. Regional price differences also demonstrate that FFB prices are influenced by CPO prices, government pricing formulas, plantation age, and the partnership structure between smallholders and companies.

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