The Indonesian Oil Palm Plantation Fund Management Agency (BPDP) continues to expand Indonesia’s economic diplomacy by strengthening international cooperation in the palm oil sector. The effort was marked by its support for the signing of a Memorandum of Understanding (MoU) between the Indonesian Palm Oil Association (GAPKI) and two Russian vegetable oil industry organizations following INNOPROM 2026.
The agreement was signed at the Embassy of the Republic of Indonesia (KBRI) in Moscow as a follow-up to Indonesia’s participation in the INNOPROM 2026 international industrial exhibition held in Yekaterinburg, Russia.
The MoU was signed by GAPKI Chairman Eddy Martono, together with The Fat and Oil Union of Russia and the Association of Enterprises of the Fat and Oil Industry of the Eurasian Economic Union (EAEU). The signing was witnessed by BPDP Director of Legal Affairs and Cooperation Pangihutan Siagian and Indonesian Ambassador to the Russian Federation and the Republic of Belarus Jose Tavares.
BPDP Showcases Sustainable Palm Oil and Indonesia’s Biodiesel Program
In addition to supporting cooperation among industry players, BPDP participated as a co-exhibitor and speaker at the INNOPROM 2026 international business forum.
During the forum, BPDP presented developments in Indonesia’s palm oil industry, including downstream industrialization, research and innovation, the implementation of the B50 biodiesel program, as well as investment opportunities and international cooperation in the palm oil sector.
The participation forms part of the government’s strategy to strengthen the competitiveness of Indonesian palm oil amid rising global demand for vegetable oils.
BPDP: Cooperation Opens New Opportunities for Indonesian Palm Oil
BPDP Director of Legal Affairs and Cooperation Pangihutan Siagian said the partnership represents a strategic step toward expanding international networks while opening new market opportunities for Indonesian palm oil products.
“BPDP welcomes this cooperation as an effort to strengthen the position of Indonesia’s palm oil industry in the global market. Collaboration between Indonesian businesses and partners in Russia is expected to enhance information exchange, strengthen promotional activities, and create mutually beneficial cooperation opportunities for both parties,” Pangihutan said.
Under the MoU, the parties will develop various forms of collaboration, including:
- Exchange of industry information
- Trade promotion
- Human resource capacity building
- Development of industry standards
- Expansion of market access for Indonesian palm oil products in Russia and other Eurasian Economic Union (EAEU) member countries
Indonesia–Russia Relations Growing More Strategic
Indonesian Ambassador to the Russian Federation and the Republic of Belarus Jose Tavares welcomed the signing of the MoU.
He expressed hope that the agreement would be implemented promptly, delivering tangible benefits to the industries of both countries while strengthening trade relations between Indonesia, Russia, and EAEU member states.
Jose also reaffirmed the commitment of the Indonesian Embassy in Moscow to continue supporting initiatives that enhance bilateral economic cooperation.
Free Trade Momentum Creates New Opportunities
The cooperation comes as economic relations between Indonesia and Russia continue to deepen.
Since 2025, bilateral relations have been elevated to a Strategic Partnership. In addition, the Indonesia–EAEU Free Trade Agreement, signed at the end of 2025, is expected to enter into force in 2027.
This momentum is anticipated to create greater opportunities for Indonesia to increase exports, including palm oil and its derivative products, to the Eurasian region.
BPDP Focuses on Strengthening the Competitiveness of Indonesia’s Palm Oil Industry
As the agency responsible for managing plantation funds, BPDP continues to implement various programs aimed at strengthening Indonesia’s palm oil industry.
These programs include human resource development, funding for research and innovation, bioenergy development, and the promotion of Indonesian palm oil products in international markets.
BPDP’s participation in INNOPROM 2026 and its support for the signing of this MoU are part of a broader strategy to expand global partnerships, strengthen Indonesia’s economic diplomacy, and enhance the global competitiveness of sustainable Indonesian palm oil.***
