Palm oil prices expected to rise in 2024 as El Niño hurts Indonesian production

Updated Sep 28, 2023
By Rajendra Jadhav MUMBAI (Reuters) - Crude palm oil (CPO) prices are expected to rise at least 11% on average in 2024 from this year's levels, as the El Niño weather pattern is expected to reduce production in Indonesia, the biggest producer worldwide, said the Indonesian Palm Oil Association (GAPKI) on Thursday. By 2024, average CPO prices including cost, freight and insurance (CIF Rotterdam) could rise to $1,000 per tonne, compared with around $900 in the current year, said Fadhil Hasan, head of the foreign affairs division at Association. Reducing the supply of palm oil and competing oils such as sunflower oil -- which has been affected by the conflict between Russia and Ukraine -- would support the prices of vegetable oils, including palm oil, he told reporters during a conference. Used in everything from cakes to shampoos and cleaning products, palm oil competes with soybean oil, sunflower oil and rapeseed-canola oil, produced mainly by Argentina, Brazil, Russia, Ukraine and ...
By clicking “Accept Cookies,” I agree to provide cookies for statistical and personalized preference purposes. To learn more about our cookies, please read our Privacy Policy.