Minister of Trade Regulation (Permendag) No. 35 of 2025 — Procedures for Setting Export Benchmark Prices and Reference Prices for Agricultural and Forestry Products, and the List of RBD Palm Olein Brands Subject to Export Duty and the BLU Service Tariff

Minister of Trade Regulation (Peraturan Menteri Perdagangan, Permendag) No. 35 of 2025, issued by Indonesia's Ministry of Trade (Kemendag), sets the procedures for determining Export Benchmark Prices (HPE) and Reference Prices (HR) for agricultural and forestry products, including oil palm, crude palm oil (CPO) and its derivatives. These prices are the basis for calculating export duty and the public service agency (BLU) service tariff, i.e. the export levy of the Oil Palm Plantation Fund Management Agency (BPDP). Because it fixes the method and price sources behind the monthly reference values (such as those in Kepmendag No. 1667 of 2026), it directly affects the amount of duty and levy paid by palm oil and CPO exporters. It replaces Permendag No. 46 of 2022, which was considered no longer in line with policy developments.

Key points

• Products subject to export duty: oil palm, CPO and derivatives, timber, hides, cocoa beans and pine resin. The BLU service tariff applies to oil palm, CPO and derivatives, and cocoa beans.
• HPE and HR are set periodically by the Minister of Trade (through the Director General) after coordination with a cross-ministry/agency team. The HPE is the basis for the export price, while the HR is the basis for the export duty rate and/or the BLU service tariff.
• The CPO HR is calculated from free on board prices on the Indonesian and Malaysian exchanges and the cost, insurance and freight price in Rotterdam minus insurance and freight costs.
• Weighting of the CPO HR: Indonesian exchange 60%, Malaysian exchange 20% and Rotterdam 20% when the difference between the average prices of the sources is at most US$40; if the difference exceeds US$40, the HR is the average of the two sources that are the median and the one closest to the median.
• Setting HPE and HR takes into account domestic supply needs, conservation of natural resources, domestic price stability, anticipation of international price spikes, downstream processing policy and funding for sustainable plantation development.
• The HPE is calculated from data for the period from the 20th of the month two months before the validity period to the 19th of the month before the validity period.

Who it affects

Exporters and businesses dealing in oil palm, CPO and its derivatives, whose export duty and export levy depend on these reference values.