Dorab Mistry: After Ramadhan, Palm Oil Price Will be in Fluctuation

Doc. InfoSAWIT
Dorab Mistry: After Ramadhan, Palm Oil Price Will be in Fluctuation

InfoSAWIT, JAKARTA –Director of Godrej International, Dorab Mistry predicted, palm oil production in Malaysia by the late of 2021 will be smaller in numbers to be 18 million tons compared to 2020 which reached 19 million tons.

But in 2022, it is getting better to be about 19 million tons. It happens for the Government of Malaysia will take 35 thousand foreign workers to work at palm oil plantations. “Meanwhile, Indonesian palm oil production will be increasing about 1 million tons in 2022,” he said, at the 17th Indonesian Palm Oil Conference and 2022 Price Outlook, that InfoSAWIT joined, Thursday (2/12/2021).

Dorab also mentioned, the workers would arrive in the early of 2022. The impact will be known after Ramadhan or by the late of May 2022 and the rests. At the moment, palm oil price will be in fluctuation.

Dorab mentioned, the important factor in 2022 is that the better production in some palm oil producer countries. But if there is any obstacle and no result, there will be lack of palm oil about 2,5 million tons. This will be tight stocks until in the midst of 2022.

“Besides production, palm oil price will have something to do with soybean production in the United States of America,” he said.

For the next five months, supply and demands will be increasing with expensive price like nowadays. Palm oil price volatility will remain high too. “Palm oil production in Malaysia will be recovering after Ramadhan 2022. Palm oil price will depend on soybean plantation,” he said. (T2)