Indonesia and Malaysia work together to increased palm oil trade between the two countries by signed a memorandum of understanding on the domestic palm sludge oil by the neighboring country with totaling 2,000  tons per month in the next two years. The deal inked by local firm, PT Alam Duta Mandiri and its parnert from Malaysia, Dendro Integrasi Bhd.

In 2020, Indonesian exports to Malaysia in the form of crude palm oil (CPO) and derivative products recorded US$945.03 million, up 15.11% compared to the previous year amounting to $820.97 million. In the Southeast Asian Region, the country is the major supplier to Malaysia with a market share of 85.14%, followed by Thailand 8.56%, Cambodia 1.78%, the Philippines 1.48%, and Singapore 0.61%.