Palm Oil Production

Home RBD Palm Oil Production

Palm Oil Represent 32% of World Vegetable Oil Consumptions

Palm Oil Production in Indonesia and Malaysia

The World’s Two Largest Palm Oil Producing Countries are Indonesia and Malaysia, which together account for nearly 90% of the World Production.

Cultivation Areas of Palm Oil in Indonesia

The entire Production of the Palm Oil derived from Indonesia’s Rainforest which ranks third in the world, the other two being in the Amazon and Congo basins. According to the Indonesian Palm Oil Association, one third of this production is attributed to smallholder farmers and the remaining to the multinationals.

Borneo and Sumatra are the two islands which account for 96 percent of Indonesia’s Palm Oil production.

According to the World Bank reports nearly 50% of CPO – Crude Palm Oil produced in the country is exported in an unprocessed form, while the remaining is subject to processing into Cooking Oil out of which about 50%  exported and the balance is consumed locally.

Production of Palm Oil in Indonesia from 2010 to 2018

“It is Prediction that Palm Oil Production of Indonesia will Climb to 48 Million Metric Tons by 2025.”

  • Production

  • MT: Metric Ton

Cultivation Areas of Palm Oil in Malaysia

Sarawak, with an extensive landbank, established its first palm oil plantation in the eighties. By 1990 the area under palm oil was 55,000 hectares, rising to 330,000 hectares by 2000. By 2012, the total area of palm oil plantations was approximately 1 million hectares.

By contrast, the total planted area in Malaysia, including Sabah but excluding Sarawak is just less than 4 million hectares.

However, while the land available for oil palm plantations in West Malaysia and Sabah are almost exhausted, research shows that Sarawak can plant another million hectares of oil palm plantation by the year 2020.

Production of Palm Oil in Malaysia from 2010 to 2018

“It is Prediction that Palm Oil Production of Malaysia will Climb to 25 Million Metric Tons by 2025.”

  • Production

  • MT: Metric Ton
Palm Oil Tree
Palm Fruits Tree

Tree Height: 20 – 30 M
Trunk Circumference: 355 Cm
Frond Production: 24 – 30 per Year
Frond Length: 6 – 8 M
Leaf Color: Green
Ripe Fruit Color: Reddish – Orange
Nursery Period: 8 – 12 Months
Age of Harvesting After Planting: 30 Months
Harvesting Intervals: 13 – 15 Days
Oil Production: 4.5 – 5 Tons/Hectare/Year
Planting Density: 125 – 150 Trees per Hectare

Palm Fruits Bunch

Number of Bunches: 10 – 12 per Tree per Year
Bunch Weight: 15 – 25 Kg
Fruit Bunches per Year: 18 – 22 Tons per Hectare
Fruitlets per Bunch: 2,000 – 4,000
Oil per Bunch: 20 – 25%

Palm Fruits

Shape of Fruitlets: Spherical To Oval
Size of Fruitlets : 3 – 3.5 Cm
Weight of Fruitlets: 15 – 20 Gm
Kernel per Fruit: 5 – 8%
Mesocarp per Fruit: 85 – 92%
Oil per Mesocarp: 20 – 50%

Refining Process to Convert Palm Oil into RBD Palm Olein

A unique feature of the Oil Palm is that it produces Two types of Oil – Palm Oil from the flesh of the fruit, and Palm Kernel Oil from the Seed or Kernel. For every 10 Tons of Palm Oil, about 1 Ton of Palm Kernel Oil also obtained. Several Processing Operations are used to Produce the finished RBD Palm Olein that meets the users’ requirements.

The First Step in Processing is at the Mill, where the CPO – Crude Palm Oil  Extracted from the Palm Fruit and PKO-Palm Kernel Oil from Seed or Kernel.

The Second Step is Refining of Palm Kernel Oil to Get a Wide Range of Palm Products of specified quality. The partly and wholly Processed Grades require little further treatment before use, offering end-user a saving in processing costs.

The Third Step is Fractionation of Palm Kernel Oil. In this method we use simple Crystallization and Separation Processes to obtain Solid (Stearin) and Liquid (Olein) fractions of various melting characteristics.

The Fourth Step is Deodorization. In this Process we Remove Odour and FFA through Deodorization. The Olein is Heated and the Vapour, which also known as (PFAD) Palm Fatty Acid Distillate, is removed from the Olein. This Olein  Known as RBD-Refined, Bleached and Deodorized Palm Olein.

Global Palm Oil Consumption

Palm oil Consumption Increased 230% in almost 2 Decades, yet India Imports most of it.

Growing population especially in developing countries, emerging demand from new importing countries such as Pakistan, Iran and Bangladesh will become the positive Palm Oil consumption growth. Palm Oil consumption is predicted to expand at slower pace than that in the past five years, it is predicted Global Palm Oil Demand to grow by 3.1% per annum within 2018-2025 time frame.

Uses of Palm Oil

Palm Oil the Planet’s Most Widely Consumed Vegetable Oil. Palm Oil found in everything from Food to Cosmetics.

Ready Meals

Cakes and Pastries


Soaps and Cosmetics