DEMAND for Malaysian palm oil is expected to be strong due to the implementation of higher biodiesel mandates in Indonesia. READ: Indonesia currently has a mandatory 35% blend of palm oil-based fuel in biodiesel and is seeking to ramp up to biodiesel containing 40% palm oil to cut its energy imports. :
A good place, but not exactly nirvana, because regardless of the issues challenging the nation's golden crop prices arent expected to sail close to READ : RM7000 level, seen in 2022 following shock waves resulting from the armed conflict between Russia and Ukraine.
PRICES will likely remain above the RM4000 level over the next 14 months or so. READ : Palm oil prices seen at about RM4,000 a tonne in 2025, says Glenauk Economics
IN a good place because since 2022, oil palm has eaten up all of soya seeds premium over the past few decades.
PREMIUMS were ridiculous, to the extent that there was a time when soya bean was trading some 200 per cent over palm oil.
CRUDE palm oil (CPO) prices have been trading at a premium over soybean oil for eight months. The premium pricing, however, is not sustainable. READ :According to David Mielke, senior analyst and director at ISTA Mielke GmbH (Oil World), premium on CPO prices will normalise in the near future, meaning CPO would be priced at a discount over soybean oil.
