InfoSAWIT, JAKARTA –Director of ASEAN Plantation Research, UOB, Kay Hian, Leow Huey Chuen mentioned that palm oil production still faces challenges, including the lack of workers namely in Malaysia. This situation will be happening in short period.
But he acknowledged that palm oil supply will be better, possibly, by the late of second quarter 2022. “The supply is still the reason to make it more expensive until now,” he said in webinar with the theme Opportunities and Challenges for Palm Oil Producer Countries (OCOPOP), that InfoSAWIT joined.
Thomas Mielke, Editor and CEO Oil World told that palm oil production globally of four vegetable oils, including palm oil will be increasing to the highest production in 4 years at 6,3 –6,8 million tons.
Palm oil production could be reaching 79,4 million tons in 2021/2022. But palm oil has lost its dynamic development, the annual average development will be left in 5 to 10 years to go.
Leader of South East Asia, LMC International Ltd, Julian McGill believed that the price will be decreasing for the next six months because vegetable oil demands (biofuel) will be decreasing but it is significant. “There will always be risks t vegetable oil fuel but the success of export tax system in Indonesia will significantly isolate it from volatility,” he said. (T2)