Article by Pnut King

Indonesia lifts ban on peanut imports but exporters not showing interest

Published on 01/19/2026 in Peanut Market News

Indonesia has lifted the suspension on peanut imports from India, but Indian exporters are not showing interest in resuming supplies to Indonesia. Exporters say that the new procedures implemented by Indonesia are extremely stringent and commercially risky.

According to peanut exporters, while Indonesia has allowed imports, it has reduced the list of approved exporters to approximately 75.  Furthermore, the rules related to quality checks and compliance have been made considerably stricter, causing many exporters to withdraw.



Shankar Thakkar, national secretary of the Confederation of All India Traders (CAIT), informed that Indonesia had imposed a ban on Indian peanut imports in September 2025. 
“The reason cited was the detection of aflatoxin levels exceeding the prescribed standards in some consignments. However, Indian exporters alleged that Indonesian authorities shared the test reports nearly three months after the consignments arrived, leading to a dispute. Exporters claim that no clear information was provided regarding how and under what conditions the peanuts were stored during this period. This raises concerns about potential quality deterioration,” said Thakkar. 


Indian traders have also questioned the testing procedures of the Indonesian Quarantine Authority (IQA). They claim that the testing standards adopted by the IQA are not in line with the World Trade Organisation (WTO) guidelines.

As per exporters, Indonesia tests only a one-kilogram sample of peanuts from a consignment, while in India, the Agricultural and Processed Food Products Export Development Authority (APEDA) tests a 20-kilogram sample. 

Exporters say that this difference can lead to inconsistencies in the results. 

And to resolve the impasse related to the import suspension, an Indonesian team visited India at the end of October. The team inspected the processes of farmers, exporters, and testing laboratories. Following this visit, Indonesia implemented new conditions, such as geo-tagging, and further tightened aflatoxin standards. According to the new rules, if aflatoxin is found in a consignment, the concerned exporter can be suspended.

As a result of these circumstances, even after the import restrictions were lifted, only about 800 tonnes of peanuts have been exported from India to Indonesia.


Thakkar added that Indonesia imports approximately one-third of India's total peanut exports. In the last financial year, India exported a total of 7.46 lakh tonnes of peanuts worth $795 million. Of this, Indonesia purchased 2.77 lakh tonnes, worth approximately $280 million. 

However, despite Indonesia's ban, India's total peanut exports increased to 379,000 tonnes in the first half of the current financial year, valued at $381.27 million. Exports in the same period last year were 354,000 tonnes, but the value was higher at $412.58 million.

This is not the first time Indonesia has imposed restrictions on Indian agricultural products. In 2022, Indonesia suspended imports of agricultural products from India over issues related to the registration of testing laboratories and high levels of aflatoxin.


The latest ban, imposed in September 2025, came within five months of an advisory issued by APEDA (Agricultural and Processed Food Products Export Development Authority) instructing laboratories to strictly adhere to sampling, analysis, and shipment procedures for the export of peanuts and peanut products.

Thakkar further stated that Indonesia's intentions regarding peanuts do not seem right. 


“Deliberately issuing instructions to import under their own self-made rules instead of international testing standards is not acceptable. India also imports a large quantity of palm oil from Indonesia, and if Indonesia continues with this approach, India may need to reconsider its palm oil imports in the future. On the other hand, due to increasing peanut exports from India and rising domestic demand, there is a possibility that peanut oil prices may increase further in the coming days,” said Thakkar.

Source: https://www.fnbnews.com/Top-News/indonesia-lifts-ban-on-peanut-imports-but-exporters-not-showing-interest-85811