Indonesia announced a plan to centralize exports of palm oil, coal, and nickel through a state-owned entity managed by sovereign wealth fund Danantara in mid-May 2026 [1, 2]. President Prabowo Subianto revealed the policy, affecting key commodities where Indonesia is the world’s top exporter, with combined exports valued around US$65 billion in 2025 [1, 2].
Starting June 1, exporters must enter a three-month transition phase, reporting export volumes, value, and prices to Danantara Sumber Daya Indonesia. This period may extend up to six months [1]. Danantara will honor all existing export contracts but will review pricing to ensure they meet global market benchmarks. Contracts with prices below world market indexes risk being re-evaluated, particularly if under-invoicing is suspected [1].
Rosan Roeslani, Danantara’s CEO, said, "We will respect all existing contracts. But what we see is that even though they are long-term contracts, the pricing is not determined at that time, but when the contract is running. Later, if we see a contract below prices at world market index, of course we will review it." He added, "If we see an indication of under-invoicing, of course we will re-evaluate such a contract." [1]
Danantara’s Chief Investment Officer, Pandu Sjahrir, said the goal is to increase "transparency, accountability, traceability—and of course it will have to be market friendly." He added, "We are listening to the players, to the market. We want to make sure this is accretive both for producers and for shareholders involved." [2]
The new body will act as a business operator rather than a regulator [2]. One key target is curbing under-invoicing, which costs Indonesia an estimated US$150 billion annually [2].
The announcement led to market uncertainty, contributing to declines in Jakarta’s stock index and the rupiah in late May 2026 [1]. Danantara expects to operate at full capacity by early January 2027 [2].
