MPOB expects palm oil stocks to dip below 2mil tonnes
Indonesia’s move to restrict export has sent buyers rushing to Malaysia.
08/03/2023 (Free Malaysia Today), Kuala Lumpur - Malaysia’s palm oil stocks could fall below two million tonnes by the end of April, which would be the lowest since July, as exports are increasing after Indonesia restricted overseas sales, a senior official told Reuters.
Indonesia will suspend some palm oil export permits to secure domestic supply amid rising cooking oil prices ahead of the upcoming aidilfitri celebration, senior cabinet minister Luhut Pandjaitan said last month.
Jakarta’s move has prompted buyers to increase purchases from Malaysia and exports would remain robust in the next few weeks, Ahmad Parveez Ghulam Kadir, director-general of the Malaysian Palm Oil Board (MPOB), told Reuters late yesterday.
Palm oil inventories in Malaysia are also falling as heavy rainfall restricted production growth, he said.
Stockpiles at the end of January in the world’s second-largest producer expanded by 3.26% from the previous month to 2.27 million tonnes, according to the MPOB.