AGO: CPO Export Graft Causes Up to Rp14 Trillion in Losses

2 hours ago 1

February 11, 2026 | 08:47 am

Evidence of a violation case of export of crude palm oil (CPO) derivative products in the Buffer Area MTI NPCT 1, Cilincing, Jakarta, November 6, 2025. Tempo/Intern/Kemal Raditya Pasha

TEMPO.CO, Jakarta The Attorney General's Office (AGO) has uncovered alleged state losses in a corruption case involving irregularities in crude palm oil (CPO) and palm oil mill effluent (POME) exports from 2022 to 2024. Syarief Sulaeman Nahdi, Director of Investigations at the Attorney General's Office for Special Crimes (Jampidsus), stated that auditors have tentatively calculated the state financial losses, or lost revenue, at Rp10 trillion to Rp14 trillion.

Syarief explained that the state financial losses stemmed from a decrease in tax rates. The state should have imposed a CPO tax. However, the perpetrators disguised CPO exports as POME exports, thus paying lower taxes. "The CPO tax is much higher than the POME tax. Much higher," he said at the Attorney General's Office's Special Crimes Building on Tuesday, February 10, 2026.

He stated that the state's economic losses arose because CPO flowed abroad, reducing the CPO quota for the domestic market. Syarief said the perpetrators manipulated the exports to evade CPO export control policies and tax avoidance. In the 2020–2024 period, the government imposed restrictions and controls on CPO exports through the Domestic Market Obligation (DMO) mechanism.

This policy requires CPO producers wishing to export their products to set aside or prioritize a percentage of their production for the domestic market. However, to continue exporting CPO, the suspects circumvented this regulation. They made commodities that were essentially CPO appear as if they were not, thereby exempting or receiving relief from the state's obligations.

In this case, the Attorney General's Office (AGO) has named 11 suspects. Three of them are state officials: Fadjar Donny Thahjadi, the former Technical Director of Customs at the Directorate General of Customs and Excise (DJBC); Lila Harsyah Bakhtiar, Head of the Non-Food Plantation Products Industry Sub-Directorate and Senior Expert Industry Supervisor at the Directorate of Forest Products Industry at the Ministry of Industry of the Republic of Indonesia; and Muhammad Zulfikar, Head of the Extension and Information Services Section at the Pekanbaru KPBC. The rest comes from the private sector.

Read: AGO Names 11 Suspects in CPO Export Corruption Case

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