Jakarta — Indonesia and Malaysia, the world’s two largest palm oil producers, are reinforcing their strategic alliance to maintain dominance in global supply and push back against negative campaigns targeting the industry.
The partnership—discussed in a recent bilateral forum—focuses on aligning policy frameworks, promoting sustainable certification systems, and presenting a united front in international forums. Both governments committed to intensifying cooperation in regulation, trade diplomacy, and downstream development.
Indonesia’s Coordinating Minister for Economic Affairs, Airlangga Hartarto, emphasized the role of palm oil as a critical economic driver, especially for smallholder farmers. “Collaboration with Malaysia is essential not only to strengthen supply chains but also to promote a fairer global narrative around sustainable palm oil,” he said.
Malaysian officials echoed the sentiment, noting that both nations have a shared responsibility in protecting their agricultural sovereignty while remaining open to innovation and transparency.
Together, Indonesia and Malaysia account for over 80% of the world’s palm oil exports. Their synchronized strategy is seen as a powerful counterbalance to restrictive trade policies and environmental lobbying that often misrepresent the industry’s economic role.
This renewed synergy marks a pivotal step toward building a more resilient, responsible, and united palm oil sector in Southeast Asia.
