MARKET DEVELOPMENT
CPO Price Begins to Rise
CPO Price Begins to Rise
22/02/2016 (Tempo.co) - Executive Director of the Indonesian Palm Oil Association (Gapki) Fadhil Hasan said that the price of crude palm oil (CPO) has begun to rise since the beginning of this month.
According to him, the rise is triggered by the decline in production due the El Nino last year.
"This condition is found in Indonesia and Malaysia," Fadhil said on Friday.
For the record, for the first time since August last year, the price of CPO reached US$ 600 per metric ton. In January last year, the global price of CPO was at around US$ 535 - 575 per metric ton, with the average price of US$ 557.2 per ton or dropped by 0.5 percent as opposed to that in December.
Gapki also estimated that the price of CPO until the end of February was at around US$ 640 - 670 per metric ton.
Fadhil also said that positive sentiment continued because several regions that produce palm oil in Indonesia were hit by floods. As a result, harvest and distribution of palm oil were disrupted so distribution was also affected.
According to him, the rise is triggered by the decline in production due the El Nino last year.
"This condition is found in Indonesia and Malaysia," Fadhil said on Friday.
For the record, for the first time since August last year, the price of CPO reached US$ 600 per metric ton. In January last year, the global price of CPO was at around US$ 535 - 575 per metric ton, with the average price of US$ 557.2 per ton or dropped by 0.5 percent as opposed to that in December.
Gapki also estimated that the price of CPO until the end of February was at around US$ 640 - 670 per metric ton.
Fadhil also said that positive sentiment continued because several regions that produce palm oil in Indonesia were hit by floods. As a result, harvest and distribution of palm oil were disrupted so distribution was also affected.