InfoSAWIT, JAKARTA – The price of crude palm oil (CPO) at PT. Kharisma Pemasaran Bersama Nusantara (KPBN) Inacom is set at Rp. 14,646/kg on Thursday (December 19, 2024), marking a decrease of 1.83% or a drop of approximately Rp 273/kg compared to the CPO price on Wednesday (December 18, 2024), which reached Rp. 14,919/kg.
According to information obtained by InfoSAWIT from KPBN, the price of CPO in Dum ai is set at Rp. 14,646/kg. The price in Teluk Bayur is set at Rp. 14,516/kg.
Meanwhile, as reported by Reuters, the price of palm oil futures contracts on the Malaysian Exchange fell on Thursday (December 19, 2024) for the fifth consecutive session, weighed down by uncertainty over Indonesia's biofuel policies and those of the U.S.
The futures price for palm oil FCPOc3 for March 2025 delivery on the Malaysian Derivatives Exchange closed down 0.38% at RM 4,512 (US$ 1,002.00) per metric ton. During the session, the contract dropped as much as 3% and briefly rose by 0.73%.
The decline in crude palm oil prices continues following a sell-off that began on Wednesday, driven by changing sentiment in the global vegetable oil market this week, according to Anilkumar Bagani, Head of Commodity Research at Sunvin Group based in Mumbai.
Furthermore, Indonesia's plan to expand its biodiesel mandate starting in January, which could curb global palm oil supplies, appears increasingly likely to be implemented gradually, analysts say, as industry players seek a phased approach.
The U.S. government funding bill released on Tuesday includes plans to allow year-round sales of gasoline with higher ethanol blends, known as E15. Traders noted that higher corn-based ethanol blending in the U.S. could reduce demand for soybean oil used in biodiesel production.
The most active soybean oil contract on the Dalian exchange DBYcv1 fell by 3.48%, while the palm oil contract DCPcv1 dropped by 3.83%. Soybean oil prices on the Chicago Board of Trade BOcv1 rose by 1.01%.
Here are the details of the KPBN Tender results (Rp./Kg), Excld PPN for the period of Thursday (December 19, 2024): CPO_____ Franco Dumai Rp. 14,646-PAA, AGM Teluk Bayur Rp. 14,516-WIRA (T2)