Indonesia's agriculture minister has asked police to investigate 270 to 300 palm oil companies for failing to adjust prices paid to farmers as commodity prices recovered from a recent slump. Minister Amran Sulaiman said the ministry submitted company information to law enforcement, including special crime units, following complaints from farming groups.

The probe stems from Indonesia's new export policy that initially drove palm oil prices down. As prices rebounded in recent days, farmers expected higher payments from processors, but hundreds of firms maintained original rates. This disconnect between recovering commodity markets and farmer compensation has created tension in the world's largest palm oil producing nation.

Industry associations participated in Monday's meeting alongside local officials and farmer representatives, signaling broad concern over pricing practices. The investigation represents growing pressure on palm oil companies to share commodity gains with producers amid volatile market conditions.

Non-compliant firms could face legal consequences as Indonesia seeks to enforce fair pricing mechanisms. The case highlights ongoing struggles between agricultural producers and processors in Southeast Asia's largest economy, where palm oil remains a critical export commodity.