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CPO price forecast to climb for rest of the year
CPO FUTURES HIT TWO-YEAR HIGH ON BULLISH SENTIMENT, STRONG EXPORTS
CPO price strength could dissipate through end-2024, says BMI
Positive growth for plantation sector, amid rising CPO prices
Good Investment Opportunity For Oleochemical Indus
KUALA LUMPUR, July 16 (Bernama) -- Primary Industries Minister Datuk SeriDr Lim Keng Yaik said there is a great possibility of good investmentopportunities with several large companies in China in the oleochemicalindustry and the development of brand products in soap, detergents,toiletries and cosmetic.He said that during his mission to China recently, the Malaysiandelegation met and discuss possible joint ventures with Chinese companiesin the field of these palm oil downstream products.
June palm oil figures better than expected
Online investment advisor Surf88.com writes on prospects in the palm oilindustry.NOT AS BAD. Overall, the June palm oil statistics turned out better thanexpected. While crude palm oil (CPO) production increased 2% as expectedfrom May, exports did not decline as much as feared, falling 7.2% versusexpectations for a 9% drop.Palm oil stocks continued to fall for the fourth consecutive month, downby another 2% to just above 910,000 tonnes.For the first half of 2002, CPO production fell 6% from the same periodlast year while exports were about 5% lower. Palm oil stocks at end-Junewere 25% below end-2001 levels, and the lowest in four years.Reasons to be still positive. The recent weakness in CPO prices was indeedtemporary, and prices have since climbed back to around RM1,380 per tonne.We believe there is room for further upside even though the crop isentering its peak production season.Meteorologists now believe that the chance of El Nino happening at the endof this year is as high as 90%. If so, this will affect palm oilproduction next year, after an estimated 10% decline in 2002.Latest estimates for major global edible oils already point to anotheryear of tight supply, reducing stocks to its lowest levels in four years.We are hence still positive on plantation stocks and would retain ouroverweight call. Our top picks are KLK (RM6.50), PPB Oil (RM3.12), IOICorp (RM6.30) and IOI Corp-WA (RM2.77).l For more reports, click on www.surf88.com
Making quality paper from palm oil fruit branches
Tuesday, July 16, 2002 (The Star) - MALAYSIA will soon become a majorproducer of high quality paper made from worthless empty palm oil fruitbranches, thanks to Chinese technology.Primary Industry Minister Datuk Seri Dr Lim Keng Yaik said a Malaysiancompany has come up with the technology to turn the empty fruit branchesinto high quality fibres that were suitable to produce various types oftimber and paper products.“In this trip to China, we found several Chinese machinery companiescapable of turning these fibres into high quality paper.“In fact, we will be starting a test programme with this Chinese companyvery soon to produce brown wrapping paper using 100% palm biomass fibres,â€he said in an interview here yesterday.His ministry would be sending 30 tonnes of the raw material to the Chinesecompany in Shanghai, which has claimed that it could make 30 tonnes ofpaper out of the material.The Chinese are known for producing high quality but low-priced machinery.“Our experts will witness the process to ensure that only palm biomassfibres are used. I am very impressed with what the Chinese have shown meand am very excited about the future of the palm oil industry,†he added.Lim said the empty fruit branches were worthless and the 360 palm oilmills in the country gather 30 million of the biomass a year. Some of thebranches are turned into low-grade fertiliser and carted back to theestates but most are discarded.“In most cases the mills have to beg or even pay others to cart away theempty fruit branches but with this new technology the biomass will becomevery valuable.â€Lim said the Chinese already had the machinery to make such paper usingdiscarded padi stalks, adding that making paper from empty palm fruitbranches in Malaysia was a cheaper option than using discarded padi stalkor even timber.“All the empty branches are centred at the mills thus paper manufacturersneed not gather the raw materials from all over the place like they do fordiscarded padi stalk.“It is cheaper than using timber or wood chips as there is no need to chopdown trees, pay for logging royalties, loggers and forest rehabilitation,â€said Lim, adding that producing paper from palm biomass was 30% cheaper.He said palm biomass fibres could be used to make all sort of papersincluding newsprint, which cost the country about RM2bil a year to import.A factory fitted with Chinese machinery is estimated to cost aboutRM500mil compared with RM6.8bil for the normal paper mill producing500,000 tonnes of paper.He said the biomass fibre could also be used to make multi densityfibreboard and particle board.There was also technology available to turn the trunk of the palm treeinto high quality timber, he added.
Plantation sector set to extend good performance
7 July 2002 (Business Times) - MALAYSIA’S plantation sector is expected tocontinue the strong performance it recorded in the first six months ofthis year, based on shrinking supply and growing demand.
MEOMA Appoints Palmco Oil Mill Sdn Bhd As New Pres
KUALA LUMPUR, July 13 (Bernama) -- Palmco Oil Mill Sdn Bhd was appointedas the new president of the Malayan Edible Oil Manufacturers' Association(MEOMA) at its 42th Annual General Meeting here, Saturday.Three vice presidents were also appointed namely Felda Kernel Products SdnBhd, Lam Soon (M) Bhd and Jin Lee (Oil Mills) Sdn Bhd.
Keng Yaik Urges Chinese Investors To Consider Oleo
KUALA LUMPUR, July 11 (Bernama) -- Potential investors from China areurged to look at Malaysia's palm-based oleochemical business as an optionto consider besides commercially exploiting the large quantity of biomassgenerated by the palm oil industry."We see the Chinese demand (for oleochemicals) is on a growing trend.
Lim leads palm oil mission to China
06 July 2002 -PRIMARY Industries Minister Datuk Seri Dr Lim Keng Yaik willlead a 10-day palm oil economic and investment mission to China startingtomorrow.
Austral To Build 2nd Palm Oil Refinery In S'wak
KUCHING, July 8 (Bernama) -- A crude palm oil refinery complex costingRM50 million will be built at the Kidurong Industrial Area in Bintulu toenhance Sarawak's palm oil industry, said Austral Enterprises Bhd'smanaging director, Dr Radzuan Abdul Rahman.The refinery, which is expected to be in operation in 2004, would beundertaken by a joint venture company, Austral Edible Oil, to be jointlyowned by Austral and Lembaga Amanah Kebajikan Masjid Negeri Sarawak(LAKMNS).
Bigger palm oil mill operational in Sandakan
Monday, July 8, 2002 - PALM oil producing region Sandakan, on the eastcoast of Sabah, is now able to cater for rapid expansion of oil palmplantations and subsequent increase in production following the recentcompletion of the new and better capacity mill, the Sepagaya palm oilmill.The mill, owned by the state’s leading oil palm-based Sawit Group, has amilling capacity of 45 tonnes of fresh fruit bunches (FFB) per hour.It replaces the Suan Lamba mill, which has a smaller operating capacity of20 tonnes per hour.In a statement on Saturday, Sawit Group said the Suan Lamba mill hasceased its operations and all palm oil milling have been taken over bySepagaya mill, effectively making it the sole milling operator in theSandakan region.“The opening of this mill coincides with Sawit Group’s business expansionprogramme for future requirement in crop processing,’’ it said.Sepagaya mill will be capable of milling up to 216,000 tonnes of FFB perannum. The capacity can be expanded to 90 tonnes per hour or 432,000tonnes annually to cater for increase in crop production in the future.Sawit Group is expected to process up to 1.4 million tonnes of FFB thisyear.“With the Sepagaya Mill, oil palm growers within the district also standto reap the benefits of the Sawit Group’s expanding milling activities asfair prices are offered for the harvest coupled with improved facilities,â€Sawit said. – Bernama(The informations and opinions expressed in this article represent theviews of the author only. They should not be seen as necessarilyreflecting the views of Palm News)
