Indonesia has secured commitments to export 640,000 tons of palm kernel shells and wood pellets to Japan following a business forum organized by the Ministry of Trade in Osaka on June 11. The deals, valued at Rp1.04 trillion, highlight growing demand for biomass products as Japan intensifies efforts to shift toward renewable energy.
The Director General of National Export Development at the Ministry of Trade, Fajarini Puntodewi, said the biomass will help support Japan’s clean energy transition, particularly as the country targets net-zero emissions by 2050 and aims for all new passenger vehicles to be electric by 2035.
“Therefore, the automotive industry in Japan must transition to renewable energy to support the shift towards electric vehicles and reduce greenhouse gas emissions,” she said in a statement released in Jakarta on June 15, as quoted by Antara.
Palm-based biomass products such as palm kernel shells, empty fruit bunches, and oil palm trunks emit lower greenhouse gases compared to fossil fuels. Puntodewi said that each ton of palm kernel shells used as industrial fuel can cut carbon dioxide emissions by 0.94 tons.
With domestic consumption still relatively limited, exports remain the more viable market. Indonesia produces around 14 million tons of palm kernel shells annually, with approximately 35% currently exported. Japan already imports around 4.5 million tons of these shells from Indonesia each year. The Ministry estimates that Japanese biomass demand will reach 7 million tons annually between 2025 and 2026.
Palm kernel shells are not only used for energy generation in thermal power plants but also serve in applications such as high-performance activated carbon for solvent recovery, air purification, and water treatment.
Dikki Akhmar, Secretary General of the Indonesian Biomass Energy Producers Association (Aprebi), expressed support for the government’s efforts to secure recognition for Sustainable Palm Oil (ISPO)-certified biomass from Japan. He also called for broader outreach regarding the Timber Legality Verification System (SVLK), which certifies forest-derived biomass such as wood pellets for export.
“The growing awareness of sustainable aspects and the increasing concept of green economy make many countries compete to present environmentally friendly products,” said Akhmar, highlighting Indonesia’s potential to lead in standardized renewable energy exports.
