Glossary · Bahan baku
Palm oil mill (PKS)
A palm oil mill (PKS, Pabrik Kelapa Sawit) is a plant that processes fresh fruit bunches into crude palm oil (CPO) and palm kernel.
Mill processes include sterilising, stripping the fruit, pressing and purifying the oil. Fruit must be processed soon after harvest so free fatty acid levels do not rise.
CPO from mills is sold to refineries or, for biodiesel, to FAME plants (biofuel business entities). Many smallholders sell FFB to mills, so CPO prices influence FFB prices.