CPO Price is Still Better in the Early of 2022

Doc. InfoSAWIT
CPO Price is Still Better in the Early of 2022

InfoSAWIT, JAKARTA – According to Malaysia’s Derivative Exchange, crude palm oil (CPO) for January 2022 contract is at RM 4.936 per ton.

Head of Investment Reswara Gian Investa, Kiswoyo Adi Joe said that CPO will remain expensive, at least, by the late of this year.

Though it is potentially corrected, he continued, it is temporary and would potentially be expensive again. CPO would remain stable at RM 4.500 per ton by the late of 2021.

Due to expensive CPO, Kiswoyo thought, CPO industries will get profits and have positive catalysts in their operational this year. But CPO production, he continued, will be decreasing because the harvest in this year is the last year outcome of nursery and fertilization process which were not optimal because of Covid-19 pandemic.

He continued, it spent about RM 1.500 to get 1 ton of CPO. It is not efficient because it only spent RM 800 – RM 1000 to get the same number in general. “It means, by nowadays CPO price which is more expensive, CPO industries will get promising high profits in this year,” he said, as quoted from Kontan.

He did convince, CPO producer companies will be better from their operational and good to join in, namely, from its price, many CPO companies have no increasing exchange yet.

Analyst of Jasa Utama Capital Sekuritas, Cheryl Tanuwijaya convinced that CPO is potentially increasing in the early of 2022 though it is once corrected in short term for having significant numbers. (T2)