Palm oil may drop to 3,798 ringgit
Business Recorder (24/03/2021) - SINGAPORE: Palm oil may drop to 3,798 ringgit per tonne, as it may have completed a bounce from 3,667 ringgit.
The bounce ended around a resistance at 3,991 ringgit, after the formation of an exhaustion gap forming on Tuesday. This gap will be filled.
The downtrend from 4,192 ringgit has resumed, driven by a wave C, which is capable of travelling into 3,554-3,676 ringgit range.
A break above 3,991 ringgit could lead to a gain at 4,068 ringgit.
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Read more at https://www.brecorder.com/news/40076981/palm-oil-may-drop-to-3798-ringgit
Malaysia’s biodiesel mandate ‘almost a disgrace’, says leading palm oil analyst
The Edge Markets (24/03/2021) - KUALA LUMPUR (March 24): Describing Malaysia’s biodiesel mandate as “almost a disgrace”, leading palm oil analyst Dorab Mistry said the government is not “doing anything” to promote biodiesel.
“I am afraid that (Malaysia’s) implementation of biodiesel is almost a disgrace. There are individual areas where Malaysia has done brilliantly, and I am a great admirer of Malaysia.
“But on the implementation of biodiesel, you are riding on the back of Indonesia. You are not doing anything to promote biodiesel, which is a sad fact,” Mistry said during a question and answer session at the virtual Palm and Lauric Oils Price Outlook Conference today.
Malaysia’s B20 (biofuel with a 20% palm oil component) mandate for the transport sector has been delayed to December 2021 in Peninsular Malaysia. The mandate has been implemented in Sarawak since September 2020 and is scheduled to be rolled out in Sabah in June 2021.
Indonesia, meanwhile, has implemented a B30 biodiesel mandate, and plans to raise it to B40 soon.
Mistry, director of Godrej International Ltd, praised Putrajaya for zero-rating export duties on crude palm oil (CPO) last year.
“The Malaysian government does sensible things from time to time, and I spent the whole of last year complementing Malaysia. I know that this decision was by your prime minister personally to completely exempt palm oil from all export taxes last year, and that was a masterstroke.
“At one sweep, he took away the export market from Indonesia and Malaysia became a thriving exporter,” said Dorab, noting that prices of CPO futures contracts on Bursa Malaysia Derivatives are dictated by Malaysian palm oil stocks.
Mistry also expects Malaysia to “do the sensible thing” by bringing in foreign workers in June or July to alleviate the labour shortage in the country’s plantation sector.
Read also:
365 million tonnes of CPO traded on Bursa Malaysia Derivatives in 2020
Palm oil prices expected to contract this year, say analysts
B20 biodiesel mandate in Malaysia expected to absorb one million tonnes of CPO, says industry expert
POC 2021 day 1: CPO prices to range between RM3,320 to RM4,113 in 2021
2021 may be more volatile year for palm oil industry, says Sime Darby Oils MD
Read more at https://www.theedgemarkets.com/article/malaysias-biodiesel-mandate-almost-disgrace-says-leading-palm-oil-analyst