Malaysia's Palm Oil Stocks Rise to 8-Month Record

Published Oct 11, 2024

Tridge summary

Malaysia's palm oil carryovers have increased to an eight-month high of 2.01 million tonnes, a 6.93% rise from the previous month, due to a decrease in local consumption, despite a slight increase in exports and a drop in production. The crude palm oil output fell by 3.8% in September, but exports saw a 0.93% increase. The market is closely watching Malaysian production and the global market trend for competing oils to determine the price dynamics of palm oil. Analysts predict that palm oil reserves are likely to rise further, with production expected to increase to 1.95 million tonnes. The market has seen a shift where palm oil is now trading at a premium instead of a discount to other oils.

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

Original content

Palm oil carryovers in one of the largest palm oil producing countries, Malaysia, rose to an eight-month high of 2.01 million tonnes at the end of last month, Reuters reported, citing data from the Malaysian Palm Oil Board (MPOB). This is also 6.93 percent more than a month earlier. The reason was a sharp drop in local consumption of this product, which outweighed a modest increase in exports and a decrease in production. The country's crude palm oil output fell by 3.8 percent from August to 1.82 million tonnes. At the same time, it was exported by 0.93 percent more, to 1.54 million tonnes. According to forecasts, compared to August, to 1.82 million tonnes, while palm oil exports increased by 0.93 percent to 1.54 million tonnes. According to Reuters forecasts, palm oil reserves will increase to 1.95 million tonnes in the near future, with production of raw materials amounting to 1.87 and exports to 1.5 million tonnes. Anilkumar Bagani, head of research at Mumbai-based vegetable ...

Source: Rosng