Archived News

KUALA LUMPUR, Dec 31 (Reuters) - Malaysian palm oil exports are expectedto remain strong through the first quarter of 2004 after a 13 percent jumpfor the whole of this year owing to short supplies of soyoil, analystssaid.A rally in prices was expected before March, as palm oil output goesinto a seasonal decline and supply of soyoil -- its main alternative --stays tight.Exports of palm oil until November officially stood at 11.4 milliontonnes, with an estimated 870,000 tonnes for December bringing theyear-end tally to around 12.3 million tonnes.Shipments for 2002 totalled 10.9 million tonnes."The way the U.S. and South American soybean production is going, itdoesn't look like the demand for palm is going to let up soon," said anoils trader in Kuala Lumpur."So, we could see another spike in prices between February and March,"he said, referring to the lowest production months for palm oil.Analysts said top soybean grower United States had hardly enough fromits drought-ravaged October harvest to cover world demand in comingmonths.Brazil and Argentina, two other major soy producers, were also close toexhausting their March harvest.In contrast, Malaysia, the world's biggest oil palm grower, saw abumper crop through 2003 owing to active expansion of cultivation groundsand good yields and weather.Leading crop watchers said Malaysian palm oil production was expectedto jump 10 percent to 13.2 million tonnes in 2003, but growth could beslower next year to touch around 13.8 million."This is because most palm trees may have topped their yields by nextyear but it's good because prices will be firm when productionconsolidates," said a grower.Palm oil futures on the Malaysia Derivatives Exchange (MDEX) jumped 38percent over three months to December 11 after the U.S. Department ofAgriculture cut its 2003/04 soybean output forecast by 14 percent to 2.47billion bushels from earlier estimates.Record palm oil exports between July and September -- averaging 1.19million tonnes a month -- also fuelled the rally.But a slide in exports since November owing to the start of year-endholidays saw futures lose a chunk of their value.MDEX's benchmark third-month contract, which touched a year high of1,865 ringgit a tonne on December 9 from a low of 1,233 on August 4,closed on Tuesday at 1,771 ringgit -- just 95 ringgit up from a year ago.RBD palm olein, palm oil's main physical product, was quoted on Tuesdayat around $500 a tonne, about $40 higher than last year's closing."It's a pity we don't have much of a premium to show at the year-endbecause it's been one heck of a year for this market," said a futurestrader on the MDEX.($1 = 3.8 ringgit)

JOHOR BAHARU, Dec 31 (Bernama) -- Kulim (Malaysia) Berhad (Kulim), awholly owned subsidiary of Johor Corporation (JCorp) has allocated RM479million for its oil palm plantation operations in Indonesia for the period2003-2010.

KUALA LUMPUR, Dec 29 (Bernama) -- Prices of Malaysia's major non-oilprimary commodities -- crude palm oil, rubber and tin -- are likely tostay firm next year, based on their current performance of late.

December 22 2003 - BINTULU Port in Sarawak is set to have a new operationsbuilding at its second inner harbour basin.

December 23 2003 - MALAYSIA’S crude palm oil prices (CPO) are expected toaverage between RM1,300 and RM1,500 a tonne level for the next two years.

KUALA LUMPUR, Dec 23 (Bernama) -- The government will not increase theceiling price of cooking oil although crude palm oil (CPO) price hasincreased to RM1,800 per tonne from around RM1,400 per tonne in the thirdquarter of 2003, Primary Industries Minister Datuk Seri Dr Lim Keng Yaiksaid, here Tuesday.

December 19 2003 - MALAYSIAN palm oil exporters should aggressivelypromote their products in China, ahead of the 2005 deadline for China toabolish tariffs on South-East Asian agriculture products under a freetrade agreement (FTA).

PUTRAJAYA, Dec 15 (Bernama) -- The China Railway Communication Co. Ltd(CRC) said it had not received any instructions from the Chinesegovernment to bid again for the RM14.5 billion double-tracking railwayproject on the pretext that the Malaysian government may announce apostponement this Wednesday after the Cabinet meeting.

NEW DELHI, Dec 11 (Bernama) -- The Indian Government may hike the importduty on refined palm oil in the coming National Budget, the AgricultureMinister, Rajnath Singh said in Delhi on Thursday.

KUALA LUMPUR, Dec 11 (Bernama) -- India has not retaliated againstMalaysia's palm oil export over the issue of the RM14.5 billion doubletracking rail project.

JOHOR BAHARU, Dec 12 (Bernama) -- Primary Industries Minister Datuk SeriDr Lim Keng Yaik wants companies involved in the oil palm-based downstreamindustry to be seriously involved in biodiesel and go for joint ventureswith foreign companies.

KUALA LUMPUR, Dec 8 (Bernama) -- Palm oil producers should invest in thepulp and paper industry from the empty fruit bunches (EFB) to generateadditional income, Minister of Primary Industries Datuk Seri Dr Lim KengYaik said.