Below is a list with tagged columns and company profiles.

Today's Headlines Palm Oil

  • Palm Oil Shipments from Indonesia: Export Tax Back in January 2017

    Palm Oil Shipments from Indonesia: Export Tax Back in January 2017

    Indonesia's Ministry of Trade re-introduces a USD $3 per ton export tax for crude palm oil (CPO) shipments in January 2017 as the government's reference palm oil price exceeded the USD $750 per ton threshold that separates the existence of export duties from zero rates. The government's reference price was set at USD $788.26 per ton for January 2017, said Dody Edward, Director General for Foreign Trade at the Trade Ministry.

    Read more ›

  • Crude Palm Oil (CPO) Industry Indonesia: What about 2017?

    Crude Palm Oil (CPO) Industry Indonesia: What about 2017?

    In 2015 the crude oil supply glut stemming from OPEC countries and the US shale gas revolution put severe downward pressure on commodity prices, including crude palm oil (CPO). Thanks to the El Nino and La Nina weather phenomenons (and a moratorium on new palm oil concessions) CPO output was curtailed in 2015 and 2016, implying some upward pressure for CPO prices, hence rebounding from a multi-year low of USD $526 per ton in November 2015. In 2016 the CPO price is expected to average USD $670 per ton.

    Read more ›

  • Crude Palm Oil Industry Indonesia: Comprehensive Roadmap Needed

    Crude Palm Oil Industry Indonesia: Comprehensive Roadmap Needed

    Global demand for vegetable and animal oils is expected to reach 200 million tons in 2016, up 3 percent from demand one year earlier. About 70 million tons of total global vegetable and animal oils demand this year consists of crude palm oil (CPO). Indonesia, the world's largest CPO producer and exporter, is expected to produce about 30.5 million tons of CPO in 2016. Meanwhile, in the first nine months of 2016 Indonesia's CPO export realization stood at 18 million tons.

    Read more ›

  • Indonesia's Palm Oil Agency Sees CPO Prices Rising

    Indonesia's Palm Oil Agency Sees CPO Prices Rising

    The Indonesian Palm Oil Association (Gapki) believes that the crude palm oil (CPO) price will stay between USD $750 and USD $790 per metric ton in October 2016. This prediction comes on the back of several positive sentiments. CPO demand from China, Europe, India and the USA has increased and is able to offset declining CPO demand from Africa and the Middle East. Fadhil Hasan, Executive Director at Gapki, informed that as a result of strong global CPO demand CPO reserves in Indonesia and Malaysia, the two biggest producers and exporters of the edible oil, are declining.

    Read more ›

  • Palm Oil Industry: Rising Biodiesel Consumption in Indonesia

    Palm Oil Industry: Rising Biodiesel Consumption in Indonesia

    Fadhil Hasan, Executive Director of the Indonesian Palm Oil Producers Association (Gapki), informed that Indonesia's exports of crude palm oil (CPO) and its derivatives (including biodiesel and oleo-chemicals) reached 1.74 million tons in July 2016, down around 8 percent from the 1.89 million tons that were exported one month earlier. The decline in exports is attributed to rising CPO consumption at home and easing demand in several key export markets.

    Read more ›

  • Falling Crude Palm Oil Production Indonesia, CPO Price to Rise?

    Falling Crude Palm Oil Production Indonesia, CPO Price to Rise?

    Production of crude palm oil (CPO) in Indonesia is expected to decline 5 percent (y/y) to 29.6 million tons from a realization of 31.2 million tons in the preceding year. At the start of the year the Agriculture Ministry of Indonesia targeted CPO output around 31-32 million tons in full-year 2016. However, lower-than-targeted CPO production is the result of a looming strong La Nina weather phenomenon (which brings wetter-than-usual conditions to Southeast Asia) and the strong El Nino earlier this year (bringer droughts to Southeast Asia).

    Read more ›

  • Palm Oil Update Indonesia: Why is the CPO Price Rising?

    Palm Oil Update Indonesia: Why is the CPO Rising?

    Stakeholders in the crude palm oil (CPO) industry of Indonesia are pleased seeing the CPO price rising considerably over the past couple of weeks to around 2,500 ringgit (approx. USD $623) per metric ton this week after palm oil futures - traded in Kuala Lumpur - had in fact entered a bear market in July 2016. Meanwhile, the World Bank expects palm oil prices to average USD $650 per ton in 2016, better than USD $623 per ton in 2015 but still a long shot away from USD $851 per ton in 2013 or the peak at USD $1,248 per ton in February 2011.

    Read more ›

  • Indonesia's Palm Oil Moratorium Includes Existing Concessions

    Indonesia's Palm Oil Moratorium Includes Existing Concessions

    Several days ago we reported that Indonesia plans to issue a five-year moratorium on new palm oil plantation concessions in August 2016 through a presidential regulation. This moratorium aims to safeguard a healthy and sustainable environment and may also aim at reducing global criticism on Indonesia's weak governance after the devastating forest fires on Kalimantan and Sumatra as well as the spread of toxic haze to other parts of Southeast Asia between June and October 2015. A government official now says the moratorium also covers existing concessions.

    Read more ›

  • Palm Oil Industry Indonesia: 5-Year Moratorium on New Concessions

    Palm Oil Industry Indonesia: Five-Year Moratorium on New Concessions

    The government of Indonesia plans to issue a five-year moratorium on new palm oil plantation concessions through a presidential instruction. For Indonesian President Joko Widodo it is one of the top priorities to safeguard a healthy and sustainable environment, especially after international criticism on Indonesia's weak environmental policies heightened due to the flaring up of devastating forest fires on Kalimantan and Sumatra as well as the spread of toxic haze to other parts of Southeast Asia between June and October 2015.

    Read more ›

  • Environment in Indonesia: Carbon Emissions Hit New High

    Environment in Indonesia: Carbon Emissions Hit New High

    A study published in Scientific Reports, conducted by scientists at King’s College London in cooperation with the Center for International Forestry Research (CIFOR), says the forest fires on the Indonesian islands of Sumatra and Kalimantan that occurred between June and October 2015 released some 11.3 million tons of carbon each day (a figure that exceeds the 8.9 million tons of daily carbon emissions in the European Union). Last year's man-made forest fires and haze in Indonesia are among the worst natural disasters ever recorded.

    Read more ›

Latest Columns Palm Oil

  • Forecasts Suggest that New El Niño Cycle May Be Rather Strong in 2014

    Forecasts Suggest that New El Niño Cycle May Be Rather Strong in 2014

    Australia's Bureau of Meteorology is increasingly convinced that the world needs to prepare for a new El Niño cycle. According to the institution, the impact of this new cycle will be felt starting from July 2014 and may continue through the winter. Also the European Center for Medium range Weather Forecasting (ECMWF) and the US Climate Prediction Center stated that chances of a new El Niño cycle in 2014 are becoming higher, although it is too early to provide an indication of this year's strength of the weather phenomenon.

    Read more ›

  • Palm Oil Rich Indonesia Can Become a Global Force in the Biodiesel Industry

    Palm Oil Rich Indonesia Can Become a Global Force in the Biodiesel Industry

    Indonesia has the potential to become a global force in the biodiesel industry because of the country’s position as the world’s top producer of crude palm oil (CPO). In 2014, Indonesia’s CPO production is estimated to total 30 million tons. Traditionally, Indonesia exports about 75 percent of its total CPO production, particularly to the giant economies of China and India. As such, this commodity is one of Indonesia's most important foreign exchange earners, apart from coal, in the non-oil and gas sector.

    Read more ›

  • Government May Stop Indonesia's Crude Palm Oil (CPO) Exports to Europe

    Government May Stop Indonesia's Crude Palm Oil (CPO) Exports to Europe

    The Indonesian government is considering to stop exports of crude palm oil (CPO) to Europe from 2014 onwards as domestic CPO demand in Southeast Asia's largest economy is rising, brought on by the country's biofuel industry which is expected to grow 70 percent next year to 5 million tons. To curtail oil imports, the government stimulates the production of crude palm oil-based biofuel by raising the mandatory content of fatty acid methyl ester (which is made from palm oil) in biodiesel products from 7.5 percent to 10 percent.

    Read more ›

  • Government of Indonesia Serious to Develop Palm-Based Biodiesel

    Government of Indonesia Serious to Develop Palm-Based Biodiesel

    Usage of biodiesel for transportation in Indonesia is expected to reach 7.2 million kiloliter by 2015, a sharp increase from 600,000 kiloliter in the first nine months of 2013. State-owned Pertamina is expected to supply the extra 6.6 million kiloliter of biodiesel. The reason why the Indonesian government is eager to develop palm-based biofuel for transportation purposes is to reduce the country's reliance on the import of expensive diesel fuel. Imports of fuels and gas are the foremost reason that Indonesia is coping with a wide current account deficit.

    Read more ›

  • Indonesian Government Develops Palm Oil Based Biodiesel to Curb Oil Import

    In order to curb imports of oil, the government of Indonesia intends to stimulate the production of crude palm oil-based biofuel by increasing the mandatory content of fatty acid methyl ester (which is made from palm oil) in biodiesel products from 7.5 percent to 10 percent. Through this policy, the government claims to be able to save up to USD $3 billion as it needs less fuel imports. Fuel imports totaled USD $5.8 billion in the first six months of 2013 and form a major cause for the USD $9.8 billion current account deficit in Q2-2013.

    Read more ›

  • Indonesia's Production of Palm Oil Grows 25.6% in First Half of 2013

    Palm Oil Industry Indonesia

    Indonesia's production of crude palm oil (CPO) in the first six months of 2013 rose 25.64 percent compared to semester I-2012 to 14.7 million tons, which is a little over half of this year's CPO production target. Despite weak global demand for the commodity (accompanied by falling CPO prices), growth was accomplished due to new seeds that became productive and because the total size of Indonesian palm oil estates continues to expand. Productive estates now stand at 9.4 million hectares from 8.7 million hectares last year.

    Read more ›

  • Indonesian Crude Palm Oil Exports Surge 29% in June 2013

    Indonesian exports of crude palm oil (CPO) in June 2013 grew about 29 percent to 1.62 million ton compared to the same month last year. Although production of CPO in Indonesia slowed down in June, higher demand for Indonesia's CPO is met because there are still sufficient amounts of stockpiles. A high official at the Indonesian Palm Oil Association (Gapki) said that stockpiles in 2012 grew to 5 million tons as global demand for the commodity weakened sharply amid international economic turmoil.

    Read more ›

  • No Recovery in Palm Oil Price: Demand Weakens while Production Grows

    The recovery in global palm oil prices that seemed to have started last spring, has ended. A few months ago, optimism had colored expectations of many analysts as palm oil prices went up about 10 percent between early May and mid-June, after tumbling 30 percent in 2012 (causing that palm oil was one of the worst performing commodities in terms of price growth last year). However, the palm oil price increase earlier this year was merely the result of falling production rates in Indonesia and Malaysia, the world's largest palm oil producers.

    Read more ›

  • Indonesia's Crude Palm Oil Sector; CPO Price Expected to Rebound

    Palm Oil Price and Export Indonesia Investments

    The price of crude palm oil (CPO), which has been under downward pressure for a long time as global turmoil lingers on, started to rebound due to falling stockpiles in Indonesia and Malaysia. Reserves of the commodity fell because of weather conditions and because of an increase in demand ahead of the Islamic fasting month (Ramadhan). The price of crude palm oil is expected to hit the USD $900 per ton mark in late 2013, up from USD $828-865 per ton in May and June. This price recovery is expected to continue.

    Read more ›

  • Indonesia's Trade Balance Reports Another Trade Deficit in April

    Indonesia's trade balance recorded another deficit in April 2013 as imports (USD $16.31 billion) exceeded exports (USD $14.70 billion). April's trade deficit, amounting to USD $1.62 billion, was mainly due to continued weak commodity exports in combination with strong oil, basic machinery and utensils imports. After five consecutive months of deficits up to February, Indonesia’s trade account reported a surplus of USD $330 million in March, but fell back into deficit in April. From January to April, Indonesia's trade deficit stands at USD $1.85 billion.

    Read more ›