Indonesia: Soybean Oil Market 2024

Soybean Oil Market Size in Indonesia

In 2022, the Indonesian soybean oil market was finally on the rise to reach $X for the first time since 2018, thus ending a three-year declining trend. In general, consumption continues to indicate a pronounced slump. Over the period under review, the market reached the peak level at $X in 2012; however, from 2013 to 2022, consumption remained at a lower figure.

Soybean Oil Production in Indonesia

In value terms, soybean oil production reached $X in 2022 estimated in export price. In general, production continues to indicate a noticeable downturn. The most prominent rate of growth was recorded in 2018 when the production volume increased by 38%. Over the period under review, production reached the peak level at $X in 2012; however, from 2013 to 2022, production remained at a lower figure.

Soybean Oil Exports

Exports from Indonesia

In 2022, approx. X tons of soybean oil were exported from Indonesia; picking up by 13% compared with 2021. In general, exports saw buoyant growth. The growth pace was the most rapid in 2020 with an increase of 217% against the previous year. As a result, the exports reached the peak of X tons. From 2021 to 2022, the growth of the exports remained at a somewhat lower figure.

In value terms, soybean oil exports dropped to $X in 2022. Overall, exports enjoyed a prominent increase. The most prominent rate of growth was recorded in 2020 when exports increased by 373% against the previous year. Over the period under review, the exports attained the maximum at $X in 2021, and then reduced in the following year.

Exports by Country

Mauritania (X tons) was the main destination for soybean oil exports from Indonesia, accounting for a 92% share of total exports. Moreover, soybean oil exports to Mauritania exceeded the volume sent to the second major destination, Ethiopia (X tons), more than tenfold.

From 2012 to 2022, the average annual rate of growth in terms of volume to Mauritania totaled +24.9%. Exports to the other major destinations recorded the following average annual rates of exports growth: Ethiopia (+32.5% per year) and Bangladesh (-2.1% per year).

In value terms, Mauritania ($X) remains the key foreign market for soybean oil exports from Indonesia, comprising 92% of total exports. The second position in the ranking was held by Ethiopia ($X), with a 4.2% share of total exports.

From 2012 to 2022, the average annual rate of growth in terms of value to Mauritania totaled +37.4%. Exports to the other major destinations recorded the following average annual rates of exports growth: Ethiopia (+26.2% per year) and Bangladesh (-7.0% per year).

Export Prices by Country

In 2022, the average soybean oil export price amounted to $X per ton, falling by -20% against the previous year. In general, the export price, however, saw a relatively flat trend pattern. The most prominent rate of growth was recorded in 2021 an increase of 58%. As a result, the export price reached the peak level of $X per ton, and then plummeted in the following year.

Average prices varied somewhat for the major overseas markets. In 2022, amid the top suppliers, the country with the highest price was Ethiopia ($X per ton), while the average price for exports to Bangladesh ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was recorded for supplies to Mauritania (+10.0%), while the prices for the other major destinations experienced a decline.

Soybean Oil Imports

Imports into Indonesia

In 2022, soybean oil imports into Indonesia rose significantly to X tons, with an increase of 13% against the year before. In general, total imports indicated a prominent increase from 2012 to 2022: its volume increased at an average annual rate of +6.6% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, imports increased by +80.7% against 2015 indices. The most prominent rate of growth was recorded in 2018 when imports increased by 31%. Imports peaked in 2022 and are likely to see gradual growth in the near future.

In value terms, soybean oil imports surged to $X in 2022. Overall, imports enjoyed resilient growth. The most prominent rate of growth was recorded in 2021 when imports increased by 61%. Imports peaked in 2022 and are expected to retain growth in years to come.

Imports by Country

Thailand (X tons), Malaysia (X tons) and the Netherlands (X tons) were the main suppliers of soybean oil imports to Indonesia, together comprising 92% of total imports.

From 2012 to 2022, the most notable rate of growth in terms of purchases, amongst the main suppliers, was attained by Thailand (with a CAGR of +37.1%), while imports for the other leaders experienced more modest paces of growth.

In value terms, the largest soybean oil suppliers to Indonesia were Malaysia ($X), Thailand ($X) and the Netherlands ($X), with a combined 88% share of total imports.

In terms of the main suppliers, Thailand, with a CAGR of +40.0%, saw the highest rates of growth with regard to the value of imports, over the period under review, while purchases for the other leaders experienced more modest paces of growth.

Import Prices by Country

In 2022, the average soybean oil import price amounted to $X per ton, increasing by 38% against the previous year. In general, import price indicated a notable expansion from 2012 to 2022: its price increased at an average annual rate of +2.8% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, soybean oil import price increased by +104.6% against 2019 indices. The pace of growth appeared the most rapid in 2021 when the average import price increased by 42% against the previous year. The import price peaked in 2022 and is expected to retain growth in years to come.

There were significant differences in the average prices amongst the major supplying countries. In 2022, amid the top importers, the country with the highest price was Singapore ($X per ton), while the price for the Netherlands ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Australia (+9.3%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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