The first large-scale plantation in Indonesia was established in Sumatra in 1911 by a Belgian firm (Henderson and Osborne 2000). By 1925, 31,600 hectares of oil palm had been planted in Sumatra (Corley and Tinker 2016). By 1936, there was 75,000 hectares of oil palm plantations in Sumatra (Budidarsono et al. 2013). 

The country produces more than 30 million tons of palm oil per year, generating 4.5% of its GDP and giving employment to 3 million people.  In 2023, its total palm oil exports amounted to 27.5 million metric tons (Indonesia: Sustainable Palm Oil, n.d.).

Used for its nourishing, emollient, and protective properties, as well as its ability to add texture to cosmetics, palm oil’s INCI is listed as “Elaeis Guineensis fruit oil” on the label of cosmetic products. Palm kernel oil’s INCI, on the other hand, is listed as Elaeis Guineensis kernel oil (Which Everyday Products Contain Palm Oil?, 2024)

Palm oil is used as a biofuel . The shells of the palm that have had their pulp extracted to make oil, can be used to make biofuels themselves. It is then reused.  After it has been used to fry foods used cooking oil, it is be treated with chemicals to create a biodiesel that is used to power vehicles and heating systems. This is particularly prominent in Europe where more than 50% of the palm oil imported was used for this purpose (Which Everyday Products Contain Palm Oil?, 2024)