Prospect of Industry and Market OLEOCHEMICAL In Indonesia, Until now there are around 64 oleochemical producers in Indonesia spread in Sumatra, Kalimantan, Papua and Java with a production capacity of around 3.78 million tons per year. There are 44 PMDN companies, 19 PMA and 1 non-facility company.
Leading oleochemical companies are among others Permata Hijau Group, Sinar Mas Group, and Wilmar Group. Most of these groups produce fatty acid products with an average capacity of 400-500 tons per day. In addition, a company from Malaysia such as KLK Kepong also intends to develop an oleochemical business
The oleochemical industry is one of the most developed palm oil derivative industries in recent years. The oleochemical industry in Indonesia has been developing lately, especially since the Government issued a downstream oil palm industry policy with a cluster approach as outlined in the Minister of Industry Regulation Number 13 of 2010 and also a CPO export tax that is relatively higher than the downstream industry export tax.
Since then, new investments and expansion in the oleochemical industry in Indonesia have emerged. Since 2011 the oleochemical industry in Indonesia has reached full capacity, and existing producers have increased production capacity while also building new plants.