1. The Chain (Where Money Is)
PLASMA / Smallholder
2-10ha, sell FFB to mill Rp 2,500/kg. Loan via KUR.
Mill (PKS)
30-60T/hour, need 6,000ha supply. CAPEX $8-15M.
Refinery
CPO → RPO/olein. Requires ISCC if EU.
Trader/Export
Buy CPO, sell to India/China. Need export licence.
Newcomer? Start as trader/collector (jual beli TBS/CPO) or plasma cooperative — lowest licence burden.
2. Licences by Location
| Area | Licence | Issued by |
|---|---|---|
| Kalimantan (ID) | IUP, HGU, SPOP/SLU for trader | Dinas Perkebunan + OSS-RBA |
| Sabah | MPOB licence (mill/trader), MSPO | MPOB, MSPO |
| Sarawak | MPOB + MPOA + Land lease | MPOB, L&S Dept |
No licence = cannot move FFB/CPO via roadblock (polisi sawit). Trader licence in ID: SIUP + NIB with KBLI 46201.
3. RSPO vs MSPO vs ISPO
- RSPO — Global, premium $30-50/T, required for EU/US buyers. Audit 12-18mo, $15-30k.
- MSPO (MY) — Mandatory in Sabah/Sarawak since 2020. No premium, but without it MPOB blocks licence. Audit $5k.
- ISPO (ID) — Mandatory for all ID plantations >25ha since 2025. No export without CTO if >2026? Enforced.
If you export to India, ISPO/MSPO enough. EU needs RSPO + EUDR due diligence (geolocation plot polygon).
4. Finding Buyers (India/China)
- India: Adani Wilmar, Ruchi Soya — via Bursa Malaysia CPO futures, or direct via trader at Sampit/Bintulu port. Need surveyor report (SGS).
- China: Yihai Kerry (Wilmar China) — needs CIQ + PHC. Use Kalimantan port Bunati, Sampit, Balikpapan.
- Price benchmark: MPOB/BMD CPO daily + premium for RSPO. Check bmd.com.my; traders quote FOB Kalimantan $900-1,100/T (2026).
EUDR warning 2026: EU deforestation regulation blocks palm oil without plot polygon + legal proof. Smallholders <4ha exempt? Still need dealer GPS. Use WRI Global Forest Watch.
5. Cost Example (Collector Model)
Truck 5T Rp 300M, ramp near mill Rp 50M, NIB + SIUP Rp 2M, working capital Rp 200M to buy FFB cash daily. Margin Rp 100-300/kg. Break-even ~1 year if you have mill contract.
Need mill/supplier intro?
We connect to RSPO mills & traders — Tawau, Sandakan, Sampit, Pekanbaru.
