Indonesian palm oil exports to Europe will collapse in 2023, what is the cause?

Published Feb 27, 2024

Tridge summary

The Indonesian palm oil industry is predicted to face challenges in 2024 due to global economic uncertainty, particularly in developed markets like the European Union and the USA, leading to decreased exports of CPO and PKO products. However, exports to Africa, China, India, and the USA have seen an increase. Global geopolitical conflicts are also impacting the supply of strategic commodities. Despite these hurdles, domestic consumption of palm oil in Indonesia is expected to rise in 2024, especially in food, the oleochemical industry, and energy sectors.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Jakarta, CNBC Indonesia - The Indonesian palm oil industry will still have to face various challenges in 2024. From a global economic perspective, uncertainty still shadows global economic growth, especially in developed countries such as the European Union, which is the market for Indonesian palm oil. "The USA is still hit by inflation that is above the target, as is Europe where economic conditions are weakening with an increasing fiscal deficit accompanied by still high inflation," said General Chair of the Indonesian Palm Oil Entrepreneurs Association (Gapki) Eddy Martono on his 43rd birthday and Gapki Press Conference, Tuesday (27/2/2024). As a result, exports of CPO and PKO products decreased by 2.38% from 33.15 million tons in 2022 to 32.21 million tons in 2023. Meanwhile, exports of biodiesel and oleochemicals increased by 29 thousand tons and 395 thousand respectively. tons. "A large decline in exports occurred for EU (European Union) purposes, namely 11.6% from 4.13 ...

Source: Cnbcindonesia