InfoSAWIT, KUALA LUMPUR – According to Malaysian Palm Oil Board (MPOB) on Friday (10/11/2023), palm oil stock hit the highest level for the past four years by the late of October 2023. The exports also increased from what were predicted. The supply increased 5,84% from September to be 2,45 million metric tons. The numbers increased for the past six months in a row. The same thing happened in September 2019.
Data told showed that crude palm oil (CPO) production increased 5,89% to be 1,94 million tons in October, while palm oil exports also increased to be 1,47 million tons.
Data survey by Reuters predicted that the supply reached 2,56 million tons or increased 10,82% in the month; the production reached 1,88 million tons and exports reached 1,29 million tons.
Traders in Kuala Lumpur mentioned that the supply could hit the peak by the late of October because the production could decrease in November because the rainy season that would have something to do with harvest.
“In November 2023, the stock could be decreasing. This could postpone CPO to get cheaper than 3.500 ringgit,” a trader said as quoted from Reuters.
Marcello Cultrera from Apricus in Singapore noted that palm oil demands would significantly be increasing between 100.000 to 170.000 tons from the previous prediction. (T2)