Breaking News on Palm Oil. May 2022
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Read curated news that impacts the global palm oil industry.
CSPO Watch News. Making it easy for you to follow the palm oil industry
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Stakeholders with an interest in the EU proposals to combat imported deforestation are advised to attend this webinar organized by Fediol, COCERAL and FEFAC. For registration and program, click here.
Recommended reading: Joint Statement of Palm Oil Sector Organisations on the Proposal for a
Regulation on Deforestation-free Products
Our organisations represent the palm oil value chain in Europe, involving refiners, traders, processors,
users, and certification systems. We support the political objective and the high level of ambition
pursued in the European Commission’s proposal for a Regulation on deforestation-free products with
enhanced transparency and traceability within the supply chains in the scope. Fediol
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Indonesia ministry to hold briefing on lifting of palm oil export ban
JAKARTA — Indonesia’s Coordinating Ministry for Economic Affairs is scheduled to hold a briefing on the Southeast Asian country’s reopening of palm oil exports at 0300 GMT on Friday, according to a media invitation.
President Joko Widodo announced on Thursday that Indonesian, the world’s biggest producer of the edible oil, will lift the export ban from Monday after imposing the policy on April 28 in a bid to control the high domestic price of cooking oil. (Reporting by Bernadette Christina Munthe Writing by Fransiska Nangoy Editing by Ed Davies) Financial Post/ Reuters
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Indonesia to reimpose local palm oil sales rule as it ends export ban
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Palm oil futures up over 3% in Malaysia on Indonesia's new domestic sales plan
KUALA LUMPUR (REUTERS) - Malaysian palm oil futures surged on Friday, after a relief from Indonesia's plan to lift its export ban was usurped by Jakarta, saying it would impose a domestic sales requirement for the vegetable oil.
The benchmark palm oil contract for August delivery on the Bursa Malaysia Derivatives Exchange gained RM223, or 3.67 per cent, to RM6,295 a tonne by the midday break.
For the week, it is set to drop 1.2 per cent, in its third consecutive weekly loss. New Straits Times
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Malaysia still reviewing proposed cut in palm oil export tax -commodities minister
KUALA LUMPUR, May 20 (Reuters) - Malaysia is still reviewing the viability of a temporary cut of a crude palm oil export tax, the Commodities Ministry said on Friday, after Indonesia lifted an export ban that has rattled the market.
Malaysia, the world's second-largest palm oil producer, is looking to boost its share of the edible oil market after Russia's invasion of Ukraine disrupted sunflower oil shipments and Indonesia's ban on palm oil exports further tightened global supplies. Reuters
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Malaysia - Growth of palm oil stockpile not a cause for concern: Zuraida
PETALING JAYA: The increase in palm oil stockpile should not be a concern as exports are expected to improve, says Datuk Zuraida Kamaruddin.
The Plantation Industries and Commodities Minister said the stockpile was likely to dip as stronger exports were expected following the Indonesian government’s recent move to widen its export ban on raw materials for cooking oil and crude palm oil (CPO) production.
However, Indonesia announced on Thursday (May 19) that it had decided to lift its palm oil export ban from May 23 (Monday) following improvements in the domestic cooking oil supply situation and taking into consideration the welfare of 17 million workers in the palm oil industry.
Malaysia's palm oil stockpile increased for the first time since October by 11.5% month-on-month to 1.64 million tonnes in April, driven by higher output (a 3.6% increase to 1.46 million tonnes) and weaker exports (a drop of 17.7% to 1.06 million tonnes). The StarMY
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Recommended reading: Joint Statement of Palm Oil Sector Organisations on the Proposal for a
Regulation on Deforestation-free Products
Our organisations represent the palm oil value chain in Europe, involving refiners, traders, processors,
users, and certification systems. We support the political objective and the high level of ambition
pursued in the European Commission’s proposal for a Regulation on deforestation-free products with
enhanced transparency and traceability within the supply chains in the scope. Fediol
-----
Indonesia ministry to hold briefing on lifting of palm oil export ban
JAKARTA — Indonesia’s Coordinating Ministry for Economic Affairs is scheduled to hold a briefing on the Southeast Asian country’s reopening of palm oil exports at 0300 GMT on Friday, according to a media invitation.
President Joko Widodo announced on Thursday that Indonesian, the world’s biggest producer of the edible oil, will lift the export ban from Monday after imposing the policy on April 28 in a bid to control the high domestic price of cooking oil. (Reporting by Bernadette Christina Munthe Writing by Fransiska Nangoy Editing by Ed Davies) Financial Post/ Reuters
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Indonesia to reimpose local palm oil sales rule as it ends export ban
- Indonesia to lift palm oil export ban on Monday, May 23
- Local sales requirement to secure cooking oil supply-minister
- Indonesia to keep 10 mln tonnes of cooking oil at home
- Export ban has cut palm fruit price by 70% -farmers group
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Palm oil futures up over 3% in Malaysia on Indonesia's new domestic sales plan
KUALA LUMPUR (REUTERS) - Malaysian palm oil futures surged on Friday, after a relief from Indonesia's plan to lift its export ban was usurped by Jakarta, saying it would impose a domestic sales requirement for the vegetable oil.
The benchmark palm oil contract for August delivery on the Bursa Malaysia Derivatives Exchange gained RM223, or 3.67 per cent, to RM6,295 a tonne by the midday break.
For the week, it is set to drop 1.2 per cent, in its third consecutive weekly loss. New Straits Times
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Malaysia still reviewing proposed cut in palm oil export tax -commodities minister
KUALA LUMPUR, May 20 (Reuters) - Malaysia is still reviewing the viability of a temporary cut of a crude palm oil export tax, the Commodities Ministry said on Friday, after Indonesia lifted an export ban that has rattled the market.
Malaysia, the world's second-largest palm oil producer, is looking to boost its share of the edible oil market after Russia's invasion of Ukraine disrupted sunflower oil shipments and Indonesia's ban on palm oil exports further tightened global supplies. Reuters
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Malaysia - Growth of palm oil stockpile not a cause for concern: Zuraida
PETALING JAYA: The increase in palm oil stockpile should not be a concern as exports are expected to improve, says Datuk Zuraida Kamaruddin.
The Plantation Industries and Commodities Minister said the stockpile was likely to dip as stronger exports were expected following the Indonesian government’s recent move to widen its export ban on raw materials for cooking oil and crude palm oil (CPO) production.
However, Indonesia announced on Thursday (May 19) that it had decided to lift its palm oil export ban from May 23 (Monday) following improvements in the domestic cooking oil supply situation and taking into consideration the welfare of 17 million workers in the palm oil industry.
Malaysia's palm oil stockpile increased for the first time since October by 11.5% month-on-month to 1.64 million tonnes in April, driven by higher output (a 3.6% increase to 1.46 million tonnes) and weaker exports (a drop of 17.7% to 1.06 million tonnes). The StarMY
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BREAKING NEWS! (May 19, 2022) Jakarta. Indonesian President Jokowi has announced the export ban on palm oil will be lifted effective May 23, 2022
Factbox: Surging food prices fuel protests across developing world
May 18 (Reuters) - The war in Ukraine and drought fueled by climate change has sent global prices for grains, cooking oils, fuel and fertilizer soaring.
Rising prices for basic food staples is fuelling protests from Indonesia to Iran.
European wheat prices have jumped 74% and benchmark palm oil futures went up 24% since January.
The trend is growing and is alarming policymakers, with United Nations agencies warning that the price hikes will worsen an existing food crisis in Africa and could cause "catastrophic" child malnutrition. read more
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Sri Lanka - India to share more information on palm oil smallholder model
Move aimed at achieving self-reliance with regard to vegetable oil production in Sri Lanka
A high-level delegation representing the Palm Oil Industry Association of Sri Lanka (POIASL), recently met with India’s High Commissioner to Sri Lanka, Gopal Baglay.
The meeting took place at Indian House where a productive meeting and discussion ensued. The POIASL discussed the progress made with regard to the oil palm industry in Sri Lanka, and provided the High Commissioner with a detailed overview of the history of oil palm cultivation in Sri Lanka. Statistical and other quantitative analyses demonstrating the potential of the industry were also presented.
India’s High Commissioner to Sri Lanka referenced the success of the palm oil industry in India, particularly with regard to smallholders, under the National Edible Oil Mission – Oil Palm (NEOM-OP), saying that it was a model for self-reliance on edible oils as envisaged by Indian Prime Minister Narendra Modi. Financial TimesLK
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Nigeria - Obaseki: Nigeria’s future bleak with oil-dependent economy
BENIN CITY – The Edo State Governor, Mr. Godwin Obaseki, has decried the country’s over-dependence on crude oil, restating the need to enhance the nation’s global competitiveness through increased investment in agriculture.
The governor, who described the dependence on oil as unsustainable, noted that with increased investment in agriculture, the country will be able to grow sufficient produce to ensure food security, create jobs and improve the livelihoods of citizens.
Obaseki spoke while addressing members of the Plantation Owners Forum of Nigeria (POFON), who were on a courtesy visit, at the Government House, Benin City. Nigerian Observer
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Ghana - Palm Oil Producers To Undergo Training To Improve Production
Food and Drugs Authority in collaboration with Artisanal Palm Oil Millers and Outgrowers Association of Ghana will begin a two-week digital training programme starting may 23rd May,2022 for oil palm processing producers to enable them to attain the high-quality oil palm production in the country.
The effort, expected to enhance market access for workers in the palm oil value chain in producing districts, would also ensure that finished products meet both local and international market standards.
The Training is expected to help Millers and Processors on Food Safety and Progressive Licensing Program by the FDA
Registration of Millers and processors for product traceability.
Under the partnership, Artisanal Palm Oil Millers and Outgrowers Association of Ghana , FDA, would train 1000 artisanal mill owners and over 3,000 machinery fabricators and processors, to promote high-quality food safety standards among artisanal palm oil producers. News Ghana
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Malaysia hopes CPO jet fuel will be accepted by ICAO
PETALING JAYA: Malaysia is hoping that jet fuel made from crude palm oil (CPO) will be accepted by the International Civil Aviation Organisation (ICAO), says Transport Minister Datuk Seri Dr Wee Ka Siong.
Being one of the biggest palm oil producers in the world, he said Malaysia had introduced the Malaysian Sustainable Palm Oil (MSPO) Certification scheme in 2013 to address global concerns on the sustainable production of palm oil, such as mitigating biodiversity loss and greenhouse gas emissions.
However, Dr Wee said CPO does not qualify as eligible fuel under ICAO’s Carbon Offsetting and Reduction Scheme for International Aviation (Corsia).
“In view of this, the Malaysian government hopes that CPO will be included as an acceptable feedstock under Corsia in future,” he said during a panel discussion at the Changi Aviation Summit in Singapore yesterday. The StarMY
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May 18 (Reuters) - The war in Ukraine and drought fueled by climate change has sent global prices for grains, cooking oils, fuel and fertilizer soaring.
Rising prices for basic food staples is fuelling protests from Indonesia to Iran.
European wheat prices have jumped 74% and benchmark palm oil futures went up 24% since January.
The trend is growing and is alarming policymakers, with United Nations agencies warning that the price hikes will worsen an existing food crisis in Africa and could cause "catastrophic" child malnutrition. read more
-----
Sri Lanka - India to share more information on palm oil smallholder model
Move aimed at achieving self-reliance with regard to vegetable oil production in Sri Lanka
A high-level delegation representing the Palm Oil Industry Association of Sri Lanka (POIASL), recently met with India’s High Commissioner to Sri Lanka, Gopal Baglay.
The meeting took place at Indian House where a productive meeting and discussion ensued. The POIASL discussed the progress made with regard to the oil palm industry in Sri Lanka, and provided the High Commissioner with a detailed overview of the history of oil palm cultivation in Sri Lanka. Statistical and other quantitative analyses demonstrating the potential of the industry were also presented.
India’s High Commissioner to Sri Lanka referenced the success of the palm oil industry in India, particularly with regard to smallholders, under the National Edible Oil Mission – Oil Palm (NEOM-OP), saying that it was a model for self-reliance on edible oils as envisaged by Indian Prime Minister Narendra Modi. Financial TimesLK
-----
Nigeria - Obaseki: Nigeria’s future bleak with oil-dependent economy
BENIN CITY – The Edo State Governor, Mr. Godwin Obaseki, has decried the country’s over-dependence on crude oil, restating the need to enhance the nation’s global competitiveness through increased investment in agriculture.
The governor, who described the dependence on oil as unsustainable, noted that with increased investment in agriculture, the country will be able to grow sufficient produce to ensure food security, create jobs and improve the livelihoods of citizens.
Obaseki spoke while addressing members of the Plantation Owners Forum of Nigeria (POFON), who were on a courtesy visit, at the Government House, Benin City. Nigerian Observer
-----
Ghana - Palm Oil Producers To Undergo Training To Improve Production
Food and Drugs Authority in collaboration with Artisanal Palm Oil Millers and Outgrowers Association of Ghana will begin a two-week digital training programme starting may 23rd May,2022 for oil palm processing producers to enable them to attain the high-quality oil palm production in the country.
The effort, expected to enhance market access for workers in the palm oil value chain in producing districts, would also ensure that finished products meet both local and international market standards.
The Training is expected to help Millers and Processors on Food Safety and Progressive Licensing Program by the FDA
Registration of Millers and processors for product traceability.
Under the partnership, Artisanal Palm Oil Millers and Outgrowers Association of Ghana , FDA, would train 1000 artisanal mill owners and over 3,000 machinery fabricators and processors, to promote high-quality food safety standards among artisanal palm oil producers. News Ghana
-----
Malaysia hopes CPO jet fuel will be accepted by ICAO
PETALING JAYA: Malaysia is hoping that jet fuel made from crude palm oil (CPO) will be accepted by the International Civil Aviation Organisation (ICAO), says Transport Minister Datuk Seri Dr Wee Ka Siong.
Being one of the biggest palm oil producers in the world, he said Malaysia had introduced the Malaysian Sustainable Palm Oil (MSPO) Certification scheme in 2013 to address global concerns on the sustainable production of palm oil, such as mitigating biodiversity loss and greenhouse gas emissions.
However, Dr Wee said CPO does not qualify as eligible fuel under ICAO’s Carbon Offsetting and Reduction Scheme for International Aviation (Corsia).
“In view of this, the Malaysian government hopes that CPO will be included as an acceptable feedstock under Corsia in future,” he said during a panel discussion at the Changi Aviation Summit in Singapore yesterday. The StarMY
-----
Indonesia Hopes New Programme Will Help Lower Cooking Oil Prices
JAKARTA (Reuters) - Indonesia's trade minister on Wednesday said he expected prices of cooking oil would stabilise after a programme to distribute subsidised supplies reaches 10,000 locations across the country.
The trade ministry and state food company ID Food on Tuesday launched a scheme that allows low-income households to buy up to two litres of cooking oil a day at 14,000 rupiah ($0.95) per litre. The programme had reached 1,200 locations as of Wednesday and was expected to reach 2,500 by the end of the week, Trade Minister Muhammad Lutfi told reporters.
Indonesia halted exports of crude palm oil and its derivatives on April 28 in the hopes that flushing the domestic market with the staple food product would arrest soaring cooking oil costs, but prices have remained stubbornly high. US News
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Indonesia - Farmers stage protests against palm oil export ban
Hundreds of smallholder farmers on Tuesday staged a protest in the capital Jakarta and in other parts of the world's fourth most populous country, demanding the government end a palm oil export ban that has slashed their income. Indonesia, the world's top palm oil exporter, has since April 28 halted shipments of crude palm oil and some of its derivative products in a bid to control soaring prices of domestic cooking oil, rattling global vegetable oil markets. Marching alongside a truck filled with palm oil fruit, farmers held a rally outside the offices of the Coordinating Ministry of Economic Affairs, which is leading the government policy. The Jakarta Post
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India - Indonesian export ban brings India's edible oil dependency back in focus
Indonesia's ban on palm oil exports has refocused attention on the efficacy of the government's policy to boost domestic production
Recently, a senior official with the government of Indonesia, the world’s largest producer of palm oil, quelled market speculation by saying that the unprecedented ban on exports imposed in April will stay unless domestic prices fall below a fixed threshold.
But given the policy flip-flops that Indonesia has made in the last couple of months on palm oil, the market was sceptical. Volatile market movements in edible oils exposed, once again, India’s well-known vulnerability to international conditions, something it will have to live with for many years to come unless drastic ... Business Standard
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Peru - UCAYALI EXPORTS REACHED A RECORD OF US$88 MILLION IN 2021 LEAD BY PALM OIL EXPORTS
The palm oil sector has become one of the main engines of economic and social development for Ucayali and the Peruvian jungle
Ocho Sur, a business group engaged in the sustainable production of palm oil products and by-products in Ucayali, shared the latest report presented by the Ministry of Foreign Trade and Tourism – MINCETUR (for its acronym in Spanish), reporting that the Ucayali region reached an export record of US$88 million in 2021, doubling the figure compared to the previous year.
For the second consecutive year, palm oil led the region's exports with a total of US$49.5 million, representing more than 56% of total exports and a growth of 139% compared to 2020. EINNewswire
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Brazilian Community Leaders Call On EU To Stop Promoting “Ecocide”
Industrial soybean farming is causing destruction and conflict in Brazil, in part driven by EU biofuel policies. Community leaders from Brazil are asking EU to stop this ecocide. Joint press release from T&E and Rainforest Foundation Norway
Community leaders from Brazil are in Brussels this week to urge the EU to correct its disastrous green fuels law which is driving deforestation in the country. With EU policymakers in the process of reviewing the bloc’s landmark “Fit for 55” package on climate, energy and transport, now is the time for the EU to stop what community leaders and NGOs have dubbed ‘ecocide’. CleanTechnica
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Amazon palm oil: sustainable fuel or deforestation driver?
To supply a planned biorefinery, Brazil would need to increase its oil palm hectarage by 60%. An all too familiar debate is underway.
Oil palm, known as dendezeiro in Brazil, can produce up to ten times more vegetable oil per hectare than other crops. But it is regularly condemned as harmful to the biodiversity of tropical forests in Asia, Africa and Latin America. Now, its cultivation looks set to advance in the Brazilian Amazon.
In December, Brasil BioFuels (BBF) and Vibra Energia – the country’s largest distributor of biofuels – announced plans to build a biorefinery for “green diesel” in Manaus, the capital city of Amazonas state. Produced from soybean and/or palm oil, the fuel is seen by many as desirable for low-carbon futures, as it is less polluting than fossil-based diesel.
The refinery is currently in the study phase, and is still without an environmental licence or deadline to start construction. But with planned investments of 1.8 billion reals (US$360 million) and a start of operations in 2025, the venture could produce up to 500 million litres of diesel per year. China Dialogue
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JAKARTA (Reuters) - Indonesia's trade minister on Wednesday said he expected prices of cooking oil would stabilise after a programme to distribute subsidised supplies reaches 10,000 locations across the country.
The trade ministry and state food company ID Food on Tuesday launched a scheme that allows low-income households to buy up to two litres of cooking oil a day at 14,000 rupiah ($0.95) per litre. The programme had reached 1,200 locations as of Wednesday and was expected to reach 2,500 by the end of the week, Trade Minister Muhammad Lutfi told reporters.
Indonesia halted exports of crude palm oil and its derivatives on April 28 in the hopes that flushing the domestic market with the staple food product would arrest soaring cooking oil costs, but prices have remained stubbornly high. US News
-----
Indonesia - Farmers stage protests against palm oil export ban
Hundreds of smallholder farmers on Tuesday staged a protest in the capital Jakarta and in other parts of the world's fourth most populous country, demanding the government end a palm oil export ban that has slashed their income. Indonesia, the world's top palm oil exporter, has since April 28 halted shipments of crude palm oil and some of its derivative products in a bid to control soaring prices of domestic cooking oil, rattling global vegetable oil markets. Marching alongside a truck filled with palm oil fruit, farmers held a rally outside the offices of the Coordinating Ministry of Economic Affairs, which is leading the government policy. The Jakarta Post
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India - Indonesian export ban brings India's edible oil dependency back in focus
Indonesia's ban on palm oil exports has refocused attention on the efficacy of the government's policy to boost domestic production
Recently, a senior official with the government of Indonesia, the world’s largest producer of palm oil, quelled market speculation by saying that the unprecedented ban on exports imposed in April will stay unless domestic prices fall below a fixed threshold.
But given the policy flip-flops that Indonesia has made in the last couple of months on palm oil, the market was sceptical. Volatile market movements in edible oils exposed, once again, India’s well-known vulnerability to international conditions, something it will have to live with for many years to come unless drastic ... Business Standard
-----
Peru - UCAYALI EXPORTS REACHED A RECORD OF US$88 MILLION IN 2021 LEAD BY PALM OIL EXPORTS
The palm oil sector has become one of the main engines of economic and social development for Ucayali and the Peruvian jungle
Ocho Sur, a business group engaged in the sustainable production of palm oil products and by-products in Ucayali, shared the latest report presented by the Ministry of Foreign Trade and Tourism – MINCETUR (for its acronym in Spanish), reporting that the Ucayali region reached an export record of US$88 million in 2021, doubling the figure compared to the previous year.
For the second consecutive year, palm oil led the region's exports with a total of US$49.5 million, representing more than 56% of total exports and a growth of 139% compared to 2020. EINNewswire
-----
Brazilian Community Leaders Call On EU To Stop Promoting “Ecocide”
Industrial soybean farming is causing destruction and conflict in Brazil, in part driven by EU biofuel policies. Community leaders from Brazil are asking EU to stop this ecocide. Joint press release from T&E and Rainforest Foundation Norway
Community leaders from Brazil are in Brussels this week to urge the EU to correct its disastrous green fuels law which is driving deforestation in the country. With EU policymakers in the process of reviewing the bloc’s landmark “Fit for 55” package on climate, energy and transport, now is the time for the EU to stop what community leaders and NGOs have dubbed ‘ecocide’. CleanTechnica
-----
Amazon palm oil: sustainable fuel or deforestation driver?
To supply a planned biorefinery, Brazil would need to increase its oil palm hectarage by 60%. An all too familiar debate is underway.
Oil palm, known as dendezeiro in Brazil, can produce up to ten times more vegetable oil per hectare than other crops. But it is regularly condemned as harmful to the biodiversity of tropical forests in Asia, Africa and Latin America. Now, its cultivation looks set to advance in the Brazilian Amazon.
In December, Brasil BioFuels (BBF) and Vibra Energia – the country’s largest distributor of biofuels – announced plans to build a biorefinery for “green diesel” in Manaus, the capital city of Amazonas state. Produced from soybean and/or palm oil, the fuel is seen by many as desirable for low-carbon futures, as it is less polluting than fossil-based diesel.
The refinery is currently in the study phase, and is still without an environmental licence or deadline to start construction. But with planned investments of 1.8 billion reals (US$360 million) and a start of operations in 2025, the venture could produce up to 500 million litres of diesel per year. China Dialogue
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Indonesia's business lobby urges G-20 to 'put aside differences'
Trade leader warns of social unrest as Ukraine war triggers inflation spike
JAKARTA -- Indonesia's largest business lobby is urging unity among leading rich and developing nations to overcome global economic issues, warning of a need to stave off social unrest as the Russia-Ukraine war fuels food and energy crises across the world. Asia Nikkei
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Indonesia’s Ban On Oil Palm Products Exportation Puts Pressure On Nigerian Producers
The recent ban by the Indonesian Government on the exportation of oil palm and oil palm products has put enormous pressure on the Nigerian palm oil producers, thereby creating a rare opportunity to build palm oil cultivation and production in Nigeria.
The Managing Director and Chief Executive Officer, MD/CEO, Raedal Farms Limited, Uwadiale Agenmonmen, stated this on Monday when he led a team of investors to the company’s farm in Iguemokhuwa village, Orhionmwon Local Government Area of Edo State, where he said the farm needed at least N2bn to complete its current expansion programme.
Speaking to journalists shortly after the tour of the farm, Agenmonmen said inadequate finances remained the major challenge for the company.
“The business environment is interesting. It may have its ups and downs but lately, the palm oil value chain has been the best in a while, fostered by Indonesia shutting down their export recently and that has driven the pressure back home,” Agenmonmen explained. TribuneNG
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Indonesian farmers stage protests against palm oil export ban
JAKARTA, May 17 (Reuters) - Hundreds of Indonesian smallholder farmers on Tuesday staged a protest in the capital Jakarta and in other parts of the world's fourth most populous country, demanding the government end a palm oil export ban that has slashed their income.
Indonesia, the world's top palm oil exporter, has since April 28 halted shipments of crude palm oil and some of its derivative products in a bid to control soaring prices of domestic cooking oil, rattling global vegetable oil markets.
Marching alongside a truck filled with palm oil fruit, farmers held a rally outside the offices of the Coordinating Ministry of Economic Affairs, which is leading the government policy. Nasdaq/ Reuters
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Indonesia - SAMADE – DPP Sawitku My Future (SAMADE) has issued an official statement since last Monday (16/5/2022) regarding the latest developments experienced by independent oil palm smallholders.
It has also been circulating on other social media such as Twitter and Facebook. This is possible so that President Joko Widodo (Jokowi) can read as soon as possible the concerns of independent oil palm farmers.
The statement of attitude published today is a confirmation so that our struggle will continue to be staked, not to go home before victory has been won. SAMADE
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Feature: Indonesian farmers suffer as palm oil export ban goes on
JAKARTA, May 16 (Xinhua) -- The last couple of weeks have been difficult for Sumochtar, a 51-year-old palm fruit farmer living in the Nagan Raya regency of Indonesia's Aceh province. His daily income has slumped so drastically that he could not even afford rice for feeding his wife and three kids.
He has suffered a lot since the Indonesian government imposed a ban on palm oil export in late April, which has caused the prices of palm fresh fruit bunches (FFB) dropped by 30 to 50 percent.
Before the ban, Sumochtar and other farmers in Sumatra, Indonesia's second largest palm oil producing island after Kalimantan, could earn an average 3,000 Indonesian rupiahs (0.20 U.S. dollar) for every kilogram of FFB.
After the ban was imposed, he could only earn less than half of the sum, ranging from 1,000 to 1,500 rupiahs per kilogram. China
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Indonesian farmers decry palm oil export ban as prices plummet
Small-scale farmers say Jakarta’s ban on palm oil exports has thrown their livelihoods into jeopardy.
Medan, Indonesia – Indonesia, the world’s largest producer of palm oil, has struggled with rising prices and low stocks of cooking oil amid a surge in global prices of the raw ingredient.
Citing the need to control the price spikes, which have been exacerbated by the Ukraine war, disappointing harvests and the COVID-19 pandemic, Indonesian President Joko “Jokowi” Widodo announced in April a ban on exports of palm oil and palm oil products. Al Jazeera
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India - Dakshina Kannada farmers reap rich dividends with cultivation of palm for oil
A palm tree grower from the district said that two months ago, one tonne of palm fruit used to get sold for Rs 15,000, but now it is getting Rs 6,300 extra due to increased demand.
MANGALURU: Nagesh, a farmer from Dakshina Kannada district, opted to grow palm trees for oil when he was struggling to find a viable alternative crop to arecanut which was affected by yellow leaf disease (YLD). Now, he is earning up to Rs 21, 300 per tonne of palm fruit.
Many farmers like him have taken up palm tree cultivation in the district. Earlier, palm oil trees used to be cultivated in 40 hectares of land, but now it has increased to 60 hectares in Dakshina Kannada, say Horticulture Department officials.
A palm tree grower from the district said that two months ago, one tonne of palm fruit used to get sold for Rs 15,000, but now it is getting Rs 6,300 extra due to increased demand. “We are hoping that the prices will increase further,” said a grower. Prema Vasanth, another grower from Sullia taluk, said, “We get around 200 kg of produce from a tree per year. New Indian Express
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Bangladesh - Govt looking for new edible oil sources
Plans to offer import duty cuts
The commerce ministry is going to recommend that the National Board of Revenue (NBR) reduce the import duty on canola, sunflower and olive oil to 10 per cent from the existing 32 per cent.
It will be an attempt to increase the supply of edible oil in local markets as Indonesia is slapping a ban on exports of palm oil from April 28. The Daily Star
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M'sia, US CBP collaboration will help address forced labour issues
PUTRAJAYA: Datuk Zuraida Kamaruddin today said the setting up of a committee to address the issue of alleged forced labour was a move in the right direction, to resolve this long standing issue.
The Plantation Industries and Commodities Minister said this issue had unfairly plagued local industries, in particular, palm oil and rubber.
"In the spirit of Keluarga Malaysia, I would like to thank Human Resources Minister Datuk Seri M. Saravanan for securing the commitment from the US Customs and Borders Protection (CBP) to set up this committee during his current trip to the US.
"The ministry will be following up on this with the relevant US authorities to urgently resolve the matter. I have several key meetings lined up and I am confident an amicable resolution will be reached soon," she said. New Straits Times
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Malaysia - Sustainable oil palm planters cooperatives hit sales of over 80,000 tonnes, says deputy plantations minister
JOHOR BARU, May 14 — The sustainable oil palm planters cooperatives (KPSM), which undertake fresh fruit bunches (FFB) trading activities through 65 weighing centres nationwide, recorded sales of 82,612.37 tonnes as of March 31, 2022.
Deputy Plantation Industries and Commodities Minister Datuk Seri Wee Jeck Seng said the participation of smallholders in KPSM was aimed at raising palm cultivation productivity and smallholders’ income via the implementation of Good Agricultural Practices.
“The government established KPSM to assist in lowering transportation costs and securing higher FFB prices, as well as driving income generation and dividend distribution among cooperative members,” he said in a statement today. Malay Mail
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India - Andhra Pradesh to fix prices of oil palm soon
Minister Kakani Govardhan Reddy said the government will scientifically adopt the oil extraction ratio to fix the price
Vijayawada: Minister for agriculture, cooperatives, marketing and food Kakani Govardhan Reddy said that the AP government will fix prices acceptable to oil palm farmers and factories.
During a meeting with farmers and representatives of oil palm factories in the secretariat on Friday, he said that the government will scientifically adopt the oil extraction ratio to fix the price and the process will be completed before the season commences. Deccan Chronicle
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UK - Processors continue to make oil substitutions in wake of Ukraine war
Food Standards Scotland (FSS) and the Food Standards Agency (FSA) are advising consumers that some food products may now contain other refined or fully refined food grade vegetable oils, despite being labelled as containing sunflower oil. Food Manufacture
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Malaysia - Machinery physically impossible
PETALING JAYA: Terrain limitation is a major factor which requires physical labour even though the plantation industry is trying hard to incorporate automation.
Incorporated Society of Planters chief executive Rajendran Irusan said: “Even though there are fertiliser spreaders, mechanisation and harvesting machines, the landscape in Malaysia, which is hilly and uneven, poses a hindrance.
“Unless we have a flat landscape like in Europe, the machines cannot harvest the oil palm. That’s why we still need labourers. The StarMY
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Malaysia - Palm oil industry easily needs 100,000 workers
PETALING JAYA: The actual worker shortage in the palm oil industry can be between 70,000 and 100,000 workers, according to an industry source.
The source also claimed that the government has yet to bring in 32,000 foreign workers for the industry.
“It has not fulfilled its obligations yet to bring in the foreign workers despite several assurances made since last October.
“The actual number of workers needed could easily be between 70,000 and 100,000 or more,” the source said.
The palm oil industry is in a critical situation as it has to deal with a perishable crop, according to the source.
“There are other severe ramifications to the industry, particularly the harvesting standards which could lead to crop and quality losses. The StarMY
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Trade leader warns of social unrest as Ukraine war triggers inflation spike
JAKARTA -- Indonesia's largest business lobby is urging unity among leading rich and developing nations to overcome global economic issues, warning of a need to stave off social unrest as the Russia-Ukraine war fuels food and energy crises across the world. Asia Nikkei
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Indonesia’s Ban On Oil Palm Products Exportation Puts Pressure On Nigerian Producers
The recent ban by the Indonesian Government on the exportation of oil palm and oil palm products has put enormous pressure on the Nigerian palm oil producers, thereby creating a rare opportunity to build palm oil cultivation and production in Nigeria.
The Managing Director and Chief Executive Officer, MD/CEO, Raedal Farms Limited, Uwadiale Agenmonmen, stated this on Monday when he led a team of investors to the company’s farm in Iguemokhuwa village, Orhionmwon Local Government Area of Edo State, where he said the farm needed at least N2bn to complete its current expansion programme.
Speaking to journalists shortly after the tour of the farm, Agenmonmen said inadequate finances remained the major challenge for the company.
“The business environment is interesting. It may have its ups and downs but lately, the palm oil value chain has been the best in a while, fostered by Indonesia shutting down their export recently and that has driven the pressure back home,” Agenmonmen explained. TribuneNG
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Indonesian farmers stage protests against palm oil export ban
JAKARTA, May 17 (Reuters) - Hundreds of Indonesian smallholder farmers on Tuesday staged a protest in the capital Jakarta and in other parts of the world's fourth most populous country, demanding the government end a palm oil export ban that has slashed their income.
Indonesia, the world's top palm oil exporter, has since April 28 halted shipments of crude palm oil and some of its derivative products in a bid to control soaring prices of domestic cooking oil, rattling global vegetable oil markets.
Marching alongside a truck filled with palm oil fruit, farmers held a rally outside the offices of the Coordinating Ministry of Economic Affairs, which is leading the government policy. Nasdaq/ Reuters
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Indonesia - SAMADE – DPP Sawitku My Future (SAMADE) has issued an official statement since last Monday (16/5/2022) regarding the latest developments experienced by independent oil palm smallholders.
It has also been circulating on other social media such as Twitter and Facebook. This is possible so that President Joko Widodo (Jokowi) can read as soon as possible the concerns of independent oil palm farmers.
The statement of attitude published today is a confirmation so that our struggle will continue to be staked, not to go home before victory has been won. SAMADE
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Feature: Indonesian farmers suffer as palm oil export ban goes on
JAKARTA, May 16 (Xinhua) -- The last couple of weeks have been difficult for Sumochtar, a 51-year-old palm fruit farmer living in the Nagan Raya regency of Indonesia's Aceh province. His daily income has slumped so drastically that he could not even afford rice for feeding his wife and three kids.
He has suffered a lot since the Indonesian government imposed a ban on palm oil export in late April, which has caused the prices of palm fresh fruit bunches (FFB) dropped by 30 to 50 percent.
Before the ban, Sumochtar and other farmers in Sumatra, Indonesia's second largest palm oil producing island after Kalimantan, could earn an average 3,000 Indonesian rupiahs (0.20 U.S. dollar) for every kilogram of FFB.
After the ban was imposed, he could only earn less than half of the sum, ranging from 1,000 to 1,500 rupiahs per kilogram. China
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Indonesian farmers decry palm oil export ban as prices plummet
Small-scale farmers say Jakarta’s ban on palm oil exports has thrown their livelihoods into jeopardy.
Medan, Indonesia – Indonesia, the world’s largest producer of palm oil, has struggled with rising prices and low stocks of cooking oil amid a surge in global prices of the raw ingredient.
Citing the need to control the price spikes, which have been exacerbated by the Ukraine war, disappointing harvests and the COVID-19 pandemic, Indonesian President Joko “Jokowi” Widodo announced in April a ban on exports of palm oil and palm oil products. Al Jazeera
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India - Dakshina Kannada farmers reap rich dividends with cultivation of palm for oil
A palm tree grower from the district said that two months ago, one tonne of palm fruit used to get sold for Rs 15,000, but now it is getting Rs 6,300 extra due to increased demand.
MANGALURU: Nagesh, a farmer from Dakshina Kannada district, opted to grow palm trees for oil when he was struggling to find a viable alternative crop to arecanut which was affected by yellow leaf disease (YLD). Now, he is earning up to Rs 21, 300 per tonne of palm fruit.
Many farmers like him have taken up palm tree cultivation in the district. Earlier, palm oil trees used to be cultivated in 40 hectares of land, but now it has increased to 60 hectares in Dakshina Kannada, say Horticulture Department officials.
A palm tree grower from the district said that two months ago, one tonne of palm fruit used to get sold for Rs 15,000, but now it is getting Rs 6,300 extra due to increased demand. “We are hoping that the prices will increase further,” said a grower. Prema Vasanth, another grower from Sullia taluk, said, “We get around 200 kg of produce from a tree per year. New Indian Express
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Bangladesh - Govt looking for new edible oil sources
Plans to offer import duty cuts
The commerce ministry is going to recommend that the National Board of Revenue (NBR) reduce the import duty on canola, sunflower and olive oil to 10 per cent from the existing 32 per cent.
It will be an attempt to increase the supply of edible oil in local markets as Indonesia is slapping a ban on exports of palm oil from April 28. The Daily Star
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M'sia, US CBP collaboration will help address forced labour issues
PUTRAJAYA: Datuk Zuraida Kamaruddin today said the setting up of a committee to address the issue of alleged forced labour was a move in the right direction, to resolve this long standing issue.
The Plantation Industries and Commodities Minister said this issue had unfairly plagued local industries, in particular, palm oil and rubber.
"In the spirit of Keluarga Malaysia, I would like to thank Human Resources Minister Datuk Seri M. Saravanan for securing the commitment from the US Customs and Borders Protection (CBP) to set up this committee during his current trip to the US.
"The ministry will be following up on this with the relevant US authorities to urgently resolve the matter. I have several key meetings lined up and I am confident an amicable resolution will be reached soon," she said. New Straits Times
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Malaysia - Sustainable oil palm planters cooperatives hit sales of over 80,000 tonnes, says deputy plantations minister
JOHOR BARU, May 14 — The sustainable oil palm planters cooperatives (KPSM), which undertake fresh fruit bunches (FFB) trading activities through 65 weighing centres nationwide, recorded sales of 82,612.37 tonnes as of March 31, 2022.
Deputy Plantation Industries and Commodities Minister Datuk Seri Wee Jeck Seng said the participation of smallholders in KPSM was aimed at raising palm cultivation productivity and smallholders’ income via the implementation of Good Agricultural Practices.
“The government established KPSM to assist in lowering transportation costs and securing higher FFB prices, as well as driving income generation and dividend distribution among cooperative members,” he said in a statement today. Malay Mail
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India - Andhra Pradesh to fix prices of oil palm soon
Minister Kakani Govardhan Reddy said the government will scientifically adopt the oil extraction ratio to fix the price
Vijayawada: Minister for agriculture, cooperatives, marketing and food Kakani Govardhan Reddy said that the AP government will fix prices acceptable to oil palm farmers and factories.
During a meeting with farmers and representatives of oil palm factories in the secretariat on Friday, he said that the government will scientifically adopt the oil extraction ratio to fix the price and the process will be completed before the season commences. Deccan Chronicle
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UK - Processors continue to make oil substitutions in wake of Ukraine war
Food Standards Scotland (FSS) and the Food Standards Agency (FSA) are advising consumers that some food products may now contain other refined or fully refined food grade vegetable oils, despite being labelled as containing sunflower oil. Food Manufacture
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Malaysia - Machinery physically impossible
PETALING JAYA: Terrain limitation is a major factor which requires physical labour even though the plantation industry is trying hard to incorporate automation.
Incorporated Society of Planters chief executive Rajendran Irusan said: “Even though there are fertiliser spreaders, mechanisation and harvesting machines, the landscape in Malaysia, which is hilly and uneven, poses a hindrance.
“Unless we have a flat landscape like in Europe, the machines cannot harvest the oil palm. That’s why we still need labourers. The StarMY
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Malaysia - Palm oil industry easily needs 100,000 workers
PETALING JAYA: The actual worker shortage in the palm oil industry can be between 70,000 and 100,000 workers, according to an industry source.
The source also claimed that the government has yet to bring in 32,000 foreign workers for the industry.
“It has not fulfilled its obligations yet to bring in the foreign workers despite several assurances made since last October.
“The actual number of workers needed could easily be between 70,000 and 100,000 or more,” the source said.
The palm oil industry is in a critical situation as it has to deal with a perishable crop, according to the source.
“There are other severe ramifications to the industry, particularly the harvesting standards which could lead to crop and quality losses. The StarMY
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Malaysia emerges as top palm oil exporter to India
“As Indonesia is not in the market, Malaysia is selling more palm oil, and at near-record high prices.”
Malaysia which is the second-largest palm oil producer in the world is now emerging as the top source of India’s palm oil imports.
“Malaysia is the biggest beneficiary of Indonesia’s unpredictable policies,” said BV Mehta, executive director of SEA (Solvent Extractors Association of India). “As Indonesia is not in the market, Malaysia is selling more palm oil, and at near-record high prices.”
Indonesia is the world’s biggest palm oil producer but its volatile export policies, including the most recent ban announced on April 22, have pushed Indian consumers to increase their dependence on Malaysia, the world’s second-largest producer whose output is less than half of its rival.
Malaysia is positioning itself to take advantage of Indonesia’s ban by cutting palm oil export taxes by as much as half, Malaysia’s Commodities Minister Zuraida Kamaruddin said on Tuesday. The Statesman
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Indonesia - Pertamina, Japanese Firms to Produce Clean Energy from Palm Oil Waste
TEMPO.CO, Jakarta - State-energy firm Pertamina, in part of the Asia Energy Transition Initiative (AETI) the Japanese government initiated in 2021, partnered with three Japanese gas companies to realize a biomethane clean gas project utilizing waste from palm oil.
The three companies are Osaka Gas Co., Ltd. (Osaka Gas), JGC Holdings Corporation (JGC), and INPEX CORPORATION (INPEX).
"This collaboration agrees to study the feasibility of producing biomethane from palm oil mill waste (POME) as clean natural gas and its potential to become liquefied natural gas (LNG) in Indonesia," said Iman Rachman, Pertamina’s director of strategy, portfolio, and business development on Friday, May 13.
The aim of the project is to promote sustainable economic growth while at the same time supporting the achievement of net-zero emissions in the Asian region through the energy transition to clean energy. Iman said that Indonesia is one of the largest producers and exporters of palm oil in the world. Tempo
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Thailand - RCL demands release of ship seized for breaching Indonesia’s palm oil ban
Thai owner says it was unaware of cargo in 34 containers being investigated by Indonesian navy
The Indonesian Navy said the vessel had carried palm oil out of the country in violation of the export ban introduced at the start of May.
Indonesia, the world’s largest producer, prohibited shipments to curb soaring domestic prices and shortages.
An Indonesian warship met the boxship as it headed for Malaysia, Navy spokesman Agung Prasetiawan said in a statement.
“The ship was carrying… 34 containers containing refined, bleached, deodorised (RBD) palm olein. This is the type of material that is temporarily prohibited for exports,” he added. Trade Winds News
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Liberia: Epa, Conservation International Confident of "Folur Project" Reducing Deforestation From Palm Oil and Cocoa Value Chains
Monrovia — Officials of the Environmental Protection Agency (EPA), the Conservation International with support from the Global Environment Facility (GEF) have held a one-day workshop to set up a plan to reduce deforestation from palm oil and cocoa value chains.
The project, named and styled, the "Food Systems Land use and Restoration" (FOLUR) project will promote biodiversity conservation and a sustainable food system for enhanced livelihood opportunities in Liberia Landscape through land use planning, restoration of degraded lands, strengthening governance, policies, and market incentives for nationally replicable models of deforestation-free cocoa and palm oil value chains. All Africa
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Action on deforestation must address indirect sourcing ‘blindspot’
Traders, food manufacturers, retailers and governments must take action to reduce the deforestation risks associated with indirect – and often unknown – sources of commodities, according to new research from UCLouvain and Trase published in Science Advances.
Almost three-quarters of deforestation is driven by agricultural expansion, the main culprits being beef, cocoa, soy and palm oil. Deforestation threatens the livelihoods of millions of forest-dependent people, is a major cause of climate change and biodiversity loss, and even risks undermining the viability of future agriculture.
Multinational commodity traders such as Cargill, Bunge, Olam and Wilmar are central to efforts to eliminate deforestation from global supply chains. These large companies handle the procurement and export of most of the world’s commodities, connecting hundreds of thousands of farmers with millions of downstream customers. Pressure is growing on traders to reduce their impacts, most recently by proposed EU legislation prohibiting the import of commodities grown on recently deforested land. At the COP26 climate summit in Glasgow, ten of the world’s largest traders pledged to eliminate deforestation. SEI
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“As Indonesia is not in the market, Malaysia is selling more palm oil, and at near-record high prices.”
Malaysia which is the second-largest palm oil producer in the world is now emerging as the top source of India’s palm oil imports.
“Malaysia is the biggest beneficiary of Indonesia’s unpredictable policies,” said BV Mehta, executive director of SEA (Solvent Extractors Association of India). “As Indonesia is not in the market, Malaysia is selling more palm oil, and at near-record high prices.”
Indonesia is the world’s biggest palm oil producer but its volatile export policies, including the most recent ban announced on April 22, have pushed Indian consumers to increase their dependence on Malaysia, the world’s second-largest producer whose output is less than half of its rival.
Malaysia is positioning itself to take advantage of Indonesia’s ban by cutting palm oil export taxes by as much as half, Malaysia’s Commodities Minister Zuraida Kamaruddin said on Tuesday. The Statesman
-----
Indonesia - Pertamina, Japanese Firms to Produce Clean Energy from Palm Oil Waste
TEMPO.CO, Jakarta - State-energy firm Pertamina, in part of the Asia Energy Transition Initiative (AETI) the Japanese government initiated in 2021, partnered with three Japanese gas companies to realize a biomethane clean gas project utilizing waste from palm oil.
The three companies are Osaka Gas Co., Ltd. (Osaka Gas), JGC Holdings Corporation (JGC), and INPEX CORPORATION (INPEX).
"This collaboration agrees to study the feasibility of producing biomethane from palm oil mill waste (POME) as clean natural gas and its potential to become liquefied natural gas (LNG) in Indonesia," said Iman Rachman, Pertamina’s director of strategy, portfolio, and business development on Friday, May 13.
The aim of the project is to promote sustainable economic growth while at the same time supporting the achievement of net-zero emissions in the Asian region through the energy transition to clean energy. Iman said that Indonesia is one of the largest producers and exporters of palm oil in the world. Tempo
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Thailand - RCL demands release of ship seized for breaching Indonesia’s palm oil ban
Thai owner says it was unaware of cargo in 34 containers being investigated by Indonesian navy
The Indonesian Navy said the vessel had carried palm oil out of the country in violation of the export ban introduced at the start of May.
Indonesia, the world’s largest producer, prohibited shipments to curb soaring domestic prices and shortages.
An Indonesian warship met the boxship as it headed for Malaysia, Navy spokesman Agung Prasetiawan said in a statement.
“The ship was carrying… 34 containers containing refined, bleached, deodorised (RBD) palm olein. This is the type of material that is temporarily prohibited for exports,” he added. Trade Winds News
-----
Liberia: Epa, Conservation International Confident of "Folur Project" Reducing Deforestation From Palm Oil and Cocoa Value Chains
Monrovia — Officials of the Environmental Protection Agency (EPA), the Conservation International with support from the Global Environment Facility (GEF) have held a one-day workshop to set up a plan to reduce deforestation from palm oil and cocoa value chains.
The project, named and styled, the "Food Systems Land use and Restoration" (FOLUR) project will promote biodiversity conservation and a sustainable food system for enhanced livelihood opportunities in Liberia Landscape through land use planning, restoration of degraded lands, strengthening governance, policies, and market incentives for nationally replicable models of deforestation-free cocoa and palm oil value chains. All Africa
-----
Action on deforestation must address indirect sourcing ‘blindspot’
Traders, food manufacturers, retailers and governments must take action to reduce the deforestation risks associated with indirect – and often unknown – sources of commodities, according to new research from UCLouvain and Trase published in Science Advances.
Almost three-quarters of deforestation is driven by agricultural expansion, the main culprits being beef, cocoa, soy and palm oil. Deforestation threatens the livelihoods of millions of forest-dependent people, is a major cause of climate change and biodiversity loss, and even risks undermining the viability of future agriculture.
Multinational commodity traders such as Cargill, Bunge, Olam and Wilmar are central to efforts to eliminate deforestation from global supply chains. These large companies handle the procurement and export of most of the world’s commodities, connecting hundreds of thousands of farmers with millions of downstream customers. Pressure is growing on traders to reduce their impacts, most recently by proposed EU legislation prohibiting the import of commodities grown on recently deforested land. At the COP26 climate summit in Glasgow, ten of the world’s largest traders pledged to eliminate deforestation. SEI
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Indonesia seeks to balance international, local palm oil demand: Official
JAKARTA: Indonesia is seeking a balance between capitalising on high global palm oil prices while ensuring food at home is affordable, a senior government official said on Wednesday, amid the country's ongoing ban on exports of the vegetable oil.
The Southeast Asian nation, the world's top palm oil producer, has since Apr 28 halted exports of crude palm oil and refined products in order to control soaring prices of cooking oil at home.
The surprise move rattled global vegetable oil markets that were already struggling after the war in Ukraine removed a big chunk of sunflower oil supply. Palm oil makes up more than a third of the world's vegetable oil market, while Indonesia accounts for around 60 per cent of palm oil supply. Channel News Asia
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Indonesia - Ombudsman Grills 4 Ministries over Cooking Oil Scarcity
Jakarta - The Indonesian Ombudsman examined four ministries and institutions to explore issues regarding the supply and price of cooking oil. The examination took place in a marathon on Tuesday, May 10, 2022.
The four ministries and institutions were the Ministry of Industry, the Ministry of Trade, the Palm Oil Support Fund Agency (BPDPKS), and the Ministry of Finance.
“The results of the examination will be one of the materials for the Indonesian Ombudsman in delivering corrective actions to improve the supply and stable price of cooking oil,” said Ombudsman member Yeka Hendra Fatika in a written statement, Tuesday, May 10.
Yeka explained that the examination lasted more than seven hours from 08:45 Western Indonesian Time (WIB) until 16:00 WIB. This, he added, was a follow-up effort from his institution that has been actively investigating the commodity fiasco since February 2022. Tempo
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AFRICA’S EMERGING ECONOMIES BEAR THE BRUNT OF INDONESIA’S CRUDE PALM OIL (CPO) BAN
Here is why living standards would skyrocket for more emerging economies in Africa
As of 2020, many households in sub-Saharan Africa had begun to substitute vegetable oils, cosmetics and dairy products for palm oil-based alternatives to save cost. At the time, the global crude oil crisis of 2020 had triggered inflation. Not long after, the pandemic struck. This impacted the FMCG industry. The crisis disrupted consumer choices in most emerging markets. Given the increased unemployment that trailed the lockdowns, more people in sub-Saharan Africa moved from premium vegetable products like sunflower oil to palm oil, shampoo and bathing soap to black soap products, butter and cheese to margarine, to curb the impacts of rising inflation.
With Jakarta’s move on palm oil, key exporters to Africa like India, which depends heavily on Indonesia and Malaysia for supply will experience a palm oil import deficit. This would further force a chain reaction that would lead to a drop in the production volume of basic consumer goods, a plunge in export to emerging economies and an increase in the price of the limited commodities that would be put up for export to these countries. If production volume is affected, export would be reduced to serve internal consumers first. Ventures Africa
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Indonesia's flip-flops give Malaysia edge in top palm oil market India
MUMBAI/KUALA LUMPUR, May 11 (Reuters) - Indonesia's "unpredictable" palm oil export policies may help Malaysia emerge as the dominant supplier to India, the world's top buyer of the edible oil, industry sources said. Reuters
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Malaysia Can Cut Palm Oil Export Tax, Know How Can It Affect India
Malaysia is the second largest producer of palm oil in the world. At present there is an 8 per cent export tax in Malaysia, which can be done between 4 per cent and 6 per cent
Malaysia is considering cutting its export tax on palm oil and slowing down the implementation of its biodiesel mandate to help meet global demand amid a shortage of edible oil. making plans. Malaysia's goods minister informed the news agency Reuters on Tuesday.
Plantation Industries and Commodities Minister Zuraida Kamaruddin said in an interview with news agency Reuters on Tuesday that her ministry has proposed the cut to the Finance Ministry. Zuraida says Malaysia could cut taxes, possibly a temporary measure.
Malaysia is the second largest producer of palm oil in the world. At present there is an 8 per cent export tax in Malaysia, which can be done between 4 per cent and 6 per cent. According to Zuraida, a decision can be taken on this in early June.
Zuraida said, "During this time of crisis, maybe we can give some relief so that more palm oil can be exported. We have to prioritise giving food to the world first." Business World IN
JAKARTA: Indonesia is seeking a balance between capitalising on high global palm oil prices while ensuring food at home is affordable, a senior government official said on Wednesday, amid the country's ongoing ban on exports of the vegetable oil.
The Southeast Asian nation, the world's top palm oil producer, has since Apr 28 halted exports of crude palm oil and refined products in order to control soaring prices of cooking oil at home.
The surprise move rattled global vegetable oil markets that were already struggling after the war in Ukraine removed a big chunk of sunflower oil supply. Palm oil makes up more than a third of the world's vegetable oil market, while Indonesia accounts for around 60 per cent of palm oil supply. Channel News Asia
-----
Indonesia - Ombudsman Grills 4 Ministries over Cooking Oil Scarcity
Jakarta - The Indonesian Ombudsman examined four ministries and institutions to explore issues regarding the supply and price of cooking oil. The examination took place in a marathon on Tuesday, May 10, 2022.
The four ministries and institutions were the Ministry of Industry, the Ministry of Trade, the Palm Oil Support Fund Agency (BPDPKS), and the Ministry of Finance.
“The results of the examination will be one of the materials for the Indonesian Ombudsman in delivering corrective actions to improve the supply and stable price of cooking oil,” said Ombudsman member Yeka Hendra Fatika in a written statement, Tuesday, May 10.
Yeka explained that the examination lasted more than seven hours from 08:45 Western Indonesian Time (WIB) until 16:00 WIB. This, he added, was a follow-up effort from his institution that has been actively investigating the commodity fiasco since February 2022. Tempo
-----
AFRICA’S EMERGING ECONOMIES BEAR THE BRUNT OF INDONESIA’S CRUDE PALM OIL (CPO) BAN
Here is why living standards would skyrocket for more emerging economies in Africa
As of 2020, many households in sub-Saharan Africa had begun to substitute vegetable oils, cosmetics and dairy products for palm oil-based alternatives to save cost. At the time, the global crude oil crisis of 2020 had triggered inflation. Not long after, the pandemic struck. This impacted the FMCG industry. The crisis disrupted consumer choices in most emerging markets. Given the increased unemployment that trailed the lockdowns, more people in sub-Saharan Africa moved from premium vegetable products like sunflower oil to palm oil, shampoo and bathing soap to black soap products, butter and cheese to margarine, to curb the impacts of rising inflation.
With Jakarta’s move on palm oil, key exporters to Africa like India, which depends heavily on Indonesia and Malaysia for supply will experience a palm oil import deficit. This would further force a chain reaction that would lead to a drop in the production volume of basic consumer goods, a plunge in export to emerging economies and an increase in the price of the limited commodities that would be put up for export to these countries. If production volume is affected, export would be reduced to serve internal consumers first. Ventures Africa
-----
Indonesia's flip-flops give Malaysia edge in top palm oil market India
MUMBAI/KUALA LUMPUR, May 11 (Reuters) - Indonesia's "unpredictable" palm oil export policies may help Malaysia emerge as the dominant supplier to India, the world's top buyer of the edible oil, industry sources said. Reuters
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Malaysia Can Cut Palm Oil Export Tax, Know How Can It Affect India
Malaysia is the second largest producer of palm oil in the world. At present there is an 8 per cent export tax in Malaysia, which can be done between 4 per cent and 6 per cent
Malaysia is considering cutting its export tax on palm oil and slowing down the implementation of its biodiesel mandate to help meet global demand amid a shortage of edible oil. making plans. Malaysia's goods minister informed the news agency Reuters on Tuesday.
Plantation Industries and Commodities Minister Zuraida Kamaruddin said in an interview with news agency Reuters on Tuesday that her ministry has proposed the cut to the Finance Ministry. Zuraida says Malaysia could cut taxes, possibly a temporary measure.
Malaysia is the second largest producer of palm oil in the world. At present there is an 8 per cent export tax in Malaysia, which can be done between 4 per cent and 6 per cent. According to Zuraida, a decision can be taken on this in early June.
Zuraida said, "During this time of crisis, maybe we can give some relief so that more palm oil can be exported. We have to prioritise giving food to the world first." Business World IN
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India wants a lot more Malaysian palm oil, offers countertrade that includes military equipment
INDIA, which has been importing an average of just over three million tonnes of palm oil from Malaysia over the past five years, is keen to raise its annual imports from Malaysia by two million tonnes or about 67% over that five-year average, and is in talks with the Malaysian government to secure the additional supply via countertrade.
This was revealed by the Indian High Commissioner to Malaysia, B N Reddy, during an interview with The Edge in Kuala Lumpur last Wednesday.
Talks started about three months back and a specific time has yet to be set on when things have to be finalised though India — Malaysia’s largest customer for its palm oil based on 2021 data — hopes to secure the deal soon, according to Reddy. The Edge Markets
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Malaysia - Report: Palm oil plantations at breaking point due to acute labour shortage
KUALA LUMPUR, May 11 — The palm oil plantation sector, one of the nation’s significant economic contributors, is at breaking point owing to a serious manpower shortage.
This is following the government’s yet to be fulfilled efforts to bring in some 32,000 foreign workers, with fruit harvesters in palm oil estates especially at a critical stage, The Star reported, quoting the Malaysian Palm Oil Association (MPOA) chief executive officer, Datuk Nageeb Wahab.
The report said that many plantation companies have been waiting in vain for the arrival of foreign workers since late last year. Malay Mail
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Malaysia palm oil exports surge as Indonesia embraces protectionist policies
World’s second-largest producer of commodity goes on offensive to boost exports
Malaysia has significantly increased its palm oil exports after the world’s biggest producer Indonesia imposed an export ban last month, as demand for the commodity rises during a global cooking oil supply crunch.
Deliveries of palm oil from Malaysia surged 40 per cent in the first 10 days of May compared with the same period during the previous month to 390,938 tonnes, according to data from cargo surveyor Intertek.
Malaysia, which is under pressure to boost its finances during a simmering political crisis, has set itself apart from other exporters embracing food protectionism as it seeks to capitalise on rising commodity prices. Last month, finance minister Zafrul Aziz told the Financial Times that soaring oil prices could help the country improve its balance sheet. Financial Times
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INDIA, which has been importing an average of just over three million tonnes of palm oil from Malaysia over the past five years, is keen to raise its annual imports from Malaysia by two million tonnes or about 67% over that five-year average, and is in talks with the Malaysian government to secure the additional supply via countertrade.
This was revealed by the Indian High Commissioner to Malaysia, B N Reddy, during an interview with The Edge in Kuala Lumpur last Wednesday.
Talks started about three months back and a specific time has yet to be set on when things have to be finalised though India — Malaysia’s largest customer for its palm oil based on 2021 data — hopes to secure the deal soon, according to Reddy. The Edge Markets
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Malaysia - Report: Palm oil plantations at breaking point due to acute labour shortage
KUALA LUMPUR, May 11 — The palm oil plantation sector, one of the nation’s significant economic contributors, is at breaking point owing to a serious manpower shortage.
This is following the government’s yet to be fulfilled efforts to bring in some 32,000 foreign workers, with fruit harvesters in palm oil estates especially at a critical stage, The Star reported, quoting the Malaysian Palm Oil Association (MPOA) chief executive officer, Datuk Nageeb Wahab.
The report said that many plantation companies have been waiting in vain for the arrival of foreign workers since late last year. Malay Mail
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Malaysia palm oil exports surge as Indonesia embraces protectionist policies
World’s second-largest producer of commodity goes on offensive to boost exports
Malaysia has significantly increased its palm oil exports after the world’s biggest producer Indonesia imposed an export ban last month, as demand for the commodity rises during a global cooking oil supply crunch.
Deliveries of palm oil from Malaysia surged 40 per cent in the first 10 days of May compared with the same period during the previous month to 390,938 tonnes, according to data from cargo surveyor Intertek.
Malaysia, which is under pressure to boost its finances during a simmering political crisis, has set itself apart from other exporters embracing food protectionism as it seeks to capitalise on rising commodity prices. Last month, finance minister Zafrul Aziz told the Financial Times that soaring oil prices could help the country improve its balance sheet. Financial Times
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Zuraida: Govt optimistic that Malaysia able to fill gap in global palm oil supply
PUTRAJAYA: The government today urged upstream oil palm growers and downstream palm oil producers in Malaysia to join hands and reap the benefits of the void created following Indonesia's decision to halt its palm oil exports.
"While Malaysia sympathises with Indonesian palm oil players who will be impacted by significant shift in the demand-supply mechanics in the country, this is the best time for our palm oil players to enhance their innovation capabilities, while exploring possible strategies to meet a spike in demand by palm oil importing countries," said Plantation Industries and Commodities Minister Datuk Zuraida Kamaruddin.
As the world's largest producer of palm oil, Indonesia imposed the ban to lower the commodity's prices and further address its domestic supply shortages. New Straits Times
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Malaysia end-April palm oil stocks at five-month high as exports plunge
KUALA LUMPUR :Malaysia's palm oil stocks at the end of April climbed to a five-month peak on improving production and a deeper-than-expected fall in exports, data from the industry regulator showed on Tuesday.
Inventories in the world's second-largest producer rose 11.48per cent from the previous month to 1.64 million tonnes, up for the first time in six months, according to the Malaysian Palm Oil Board (MPOB).
Crude palm oil production expanded 3.6per cent from March to 1.46 million tonnes, its highest since November.
Palm oil exports declined 17.73per cent to 1.05 million tonnes, lower than market expectations. Today Online
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Exclusive: Malaysia may cut palm oil export tax by half amid global supply crisis
KUALA LUMPUR, May 10 (Reuters) - Malaysia's commodities ministry has proposed cutting the export tax on palm oil by as much as half to help fill a global edible oil shortage and grow the market share of the world's second-largest palm oil producer.
Reporting by Mei Mei Chu and A. Ananthalakshmi; Editing by Tom Hogue and Susan Fenton Reuters
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Ferrero drives forward three-year plan for delivering sustainable Malaysian palm oil supplies
Ferrero is initiating results of a major study in Malaysia with the Sustainable Agriculture Network (SAN), that have paved way for a new three plan delivering solutions for biodiverse palm oil production, writes Neill Barston.
As the company explained, the venture began with the initial work done in 2020, and has been focused at farm level for conservation methods, piloting best practice habitat designs, as well as integrated pest management (IPM) to deliver eco-friendly supplies for the company’s product ranges, including some of its key confectionery brands.
The use of palm oils for the food market, including major sweets and snacks brands, has attracted controversy in light of animal and environmental charities expressing concern about its prevalence – which industry analysts assert can be farmed positively with sufficient focus on sustainable harvesting. However, Ferrero has recently emerged in a WWF study as among the best performing businesses in the sector in terms of its focus on traceability and overall quality of farming practices. Confectionery Production
PUTRAJAYA: The government today urged upstream oil palm growers and downstream palm oil producers in Malaysia to join hands and reap the benefits of the void created following Indonesia's decision to halt its palm oil exports.
"While Malaysia sympathises with Indonesian palm oil players who will be impacted by significant shift in the demand-supply mechanics in the country, this is the best time for our palm oil players to enhance their innovation capabilities, while exploring possible strategies to meet a spike in demand by palm oil importing countries," said Plantation Industries and Commodities Minister Datuk Zuraida Kamaruddin.
As the world's largest producer of palm oil, Indonesia imposed the ban to lower the commodity's prices and further address its domestic supply shortages. New Straits Times
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Malaysia end-April palm oil stocks at five-month high as exports plunge
KUALA LUMPUR :Malaysia's palm oil stocks at the end of April climbed to a five-month peak on improving production and a deeper-than-expected fall in exports, data from the industry regulator showed on Tuesday.
Inventories in the world's second-largest producer rose 11.48per cent from the previous month to 1.64 million tonnes, up for the first time in six months, according to the Malaysian Palm Oil Board (MPOB).
Crude palm oil production expanded 3.6per cent from March to 1.46 million tonnes, its highest since November.
Palm oil exports declined 17.73per cent to 1.05 million tonnes, lower than market expectations. Today Online
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Exclusive: Malaysia may cut palm oil export tax by half amid global supply crisis
KUALA LUMPUR, May 10 (Reuters) - Malaysia's commodities ministry has proposed cutting the export tax on palm oil by as much as half to help fill a global edible oil shortage and grow the market share of the world's second-largest palm oil producer.
Reporting by Mei Mei Chu and A. Ananthalakshmi; Editing by Tom Hogue and Susan Fenton Reuters
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Ferrero drives forward three-year plan for delivering sustainable Malaysian palm oil supplies
Ferrero is initiating results of a major study in Malaysia with the Sustainable Agriculture Network (SAN), that have paved way for a new three plan delivering solutions for biodiverse palm oil production, writes Neill Barston.
As the company explained, the venture began with the initial work done in 2020, and has been focused at farm level for conservation methods, piloting best practice habitat designs, as well as integrated pest management (IPM) to deliver eco-friendly supplies for the company’s product ranges, including some of its key confectionery brands.
The use of palm oils for the food market, including major sweets and snacks brands, has attracted controversy in light of animal and environmental charities expressing concern about its prevalence – which industry analysts assert can be farmed positively with sufficient focus on sustainable harvesting. However, Ferrero has recently emerged in a WWF study as among the best performing businesses in the sector in terms of its focus on traceability and overall quality of farming practices. Confectionery Production
Indonesia faces international pressure over palm oil export ban
Signs of discontent with Jakarta are emerging in countries that rely heavily on palm oil, such as India and Pakistan.
Medan, Indonesia – Indonesia is coming under growing international pressure over its ban on palm oil exports amid soaring food prices worldwide.
The ban by the world’s largest palm oil exporter has put pressure on edible oil prices at a time when supplies are already under strain due to poor harvests, the Ukraine war, and labour shortages caused by the COVID-19 pandemic. Al Jazeera
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Nigeria - Global oil palm crisis may boost Nigeria’s palm oil sector
There are increased local efforts to enable Nigeria take advantage of Indonesia’s palm oil export ban, as competing countries swoop in and expand its market share.
Recently, Indonesian President Joko announced a total export ban on all palm oil, both crude and refined/processed, out of the country to tackle local price hikes. Palm oil prices could hit a record 8,100 ringgit ($1,938) a tonne following a plunge in global edible oil stocks and a decline in export surpluses, including the impact of war in Ukraine. The NationNG
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Nigeria - CBN’s Proactive Intervention in Oil Palm Development
According to recent reports, Indonesia, which accounts for 35 per cent of global palm oil exports, has suspended all exports of the highly essential commodity in a bid to bring down prices in the country and limit shortages.
The country’s decision to halt further exports in the face of domestic shortages had reportedly pushed vegetable oil prices to new highs, further tightening a market already unsettled due to the war in Ukraine and global warming.
The development has resulted in global supply deficit given that palm oil remained the most consumed vegetable oil in the world as the commodity is used heavily in processed food including instant noodles and baked goods as well as present in other consumer products, namely personal care items and cosmetics. This Day Live
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India - Nirmal farmers study oil palm cultivation in Aswaraopet
District plans to go for oil palm plantation in 10K acres in 2022-23
A team of 300 farmers from Nirmal district led by Minister for Endowments, Forests, Environment and Law A. Indrakaran Reddy visited oilpalm plantations and factory in Aswaraopet area in Bhadradri-Kothagudem district on Sunday as a study tour for awareness on taking up its cultivaiton.
The farmer team first visited the palm oil factory at Dammapeta and enquired about how farmers were shifting the palm oil fruit bunches from their fields to factory, the processing of bunches that arrived from the field and yield of oil from a tonne of oil palm bunches. The Hindu
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Malaysia - Ministry sec-gen leads delegation on palm oil dispute settlement
The secretary-general of the Plantation Industries and Commodities Ministry (MPIC) Ravi Muthayah is leading the Malaysian delegation to Geneva in Switzerland for a “first substantive meeting” in relation to Malaysia’s action on the European Union (EU) over the issue of palm oil discrimination.
According to MPIC’s Facebook posting, the action taken by Malaysia was through a dispute resolution mechanism under the World Trade Organisation (WTO). Malaysiakini
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Signs of discontent with Jakarta are emerging in countries that rely heavily on palm oil, such as India and Pakistan.
Medan, Indonesia – Indonesia is coming under growing international pressure over its ban on palm oil exports amid soaring food prices worldwide.
The ban by the world’s largest palm oil exporter has put pressure on edible oil prices at a time when supplies are already under strain due to poor harvests, the Ukraine war, and labour shortages caused by the COVID-19 pandemic. Al Jazeera
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Nigeria - Global oil palm crisis may boost Nigeria’s palm oil sector
There are increased local efforts to enable Nigeria take advantage of Indonesia’s palm oil export ban, as competing countries swoop in and expand its market share.
Recently, Indonesian President Joko announced a total export ban on all palm oil, both crude and refined/processed, out of the country to tackle local price hikes. Palm oil prices could hit a record 8,100 ringgit ($1,938) a tonne following a plunge in global edible oil stocks and a decline in export surpluses, including the impact of war in Ukraine. The NationNG
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Nigeria - CBN’s Proactive Intervention in Oil Palm Development
According to recent reports, Indonesia, which accounts for 35 per cent of global palm oil exports, has suspended all exports of the highly essential commodity in a bid to bring down prices in the country and limit shortages.
The country’s decision to halt further exports in the face of domestic shortages had reportedly pushed vegetable oil prices to new highs, further tightening a market already unsettled due to the war in Ukraine and global warming.
The development has resulted in global supply deficit given that palm oil remained the most consumed vegetable oil in the world as the commodity is used heavily in processed food including instant noodles and baked goods as well as present in other consumer products, namely personal care items and cosmetics. This Day Live
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India - Nirmal farmers study oil palm cultivation in Aswaraopet
District plans to go for oil palm plantation in 10K acres in 2022-23
A team of 300 farmers from Nirmal district led by Minister for Endowments, Forests, Environment and Law A. Indrakaran Reddy visited oilpalm plantations and factory in Aswaraopet area in Bhadradri-Kothagudem district on Sunday as a study tour for awareness on taking up its cultivaiton.
The farmer team first visited the palm oil factory at Dammapeta and enquired about how farmers were shifting the palm oil fruit bunches from their fields to factory, the processing of bunches that arrived from the field and yield of oil from a tonne of oil palm bunches. The Hindu
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Malaysia - Ministry sec-gen leads delegation on palm oil dispute settlement
The secretary-general of the Plantation Industries and Commodities Ministry (MPIC) Ravi Muthayah is leading the Malaysian delegation to Geneva in Switzerland for a “first substantive meeting” in relation to Malaysia’s action on the European Union (EU) over the issue of palm oil discrimination.
According to MPIC’s Facebook posting, the action taken by Malaysia was through a dispute resolution mechanism under the World Trade Organisation (WTO). Malaysiakini
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Indonesia - Government should absorb small farmers' palm oil products: MP
Jakarta (ANTARA) - The government should absorb palm products from small farmers, as the price of palm Fresh Fruit Bunches (FFB) decreased after the export ban was imposed, according to the House of Representatives' (DPR's) Commission VII member, Mulyanto.
"The government should provide incentives to them because the government must be responsible for the policies implemented, especially for those who are most vulnerable," Mulyanto noted in a written statement here on Saturday.
The House member remarked that one of the important incentives to ease the burden on palm oil farmers is to absorb the FFB products at a reasonable price, for instance, by buying and processing mandatory biofuels from palm oil owned by the people. Antara News
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Indonesia - Navy seizes sixth vessel for allegedly 'smuggling' palm oil
The Indonesian Navy has detained five foreign-flagged vessels and one Indonesian-flagged vessel for attempting to transport palm oil outside the country in direct violation of the palm oil rules currently in force. The government imposed a mandatory domestic market obligation (DMO) for producers in late January, followed in late April by an export ban on cooking oil raw materials, which includes crude palm oil (CPO), refined palm oil and refined, bleached, deodorized (RBD) palm olein. The latest detention involved the Singaporean-flagged MV Mathu Bhum on Thursday, when it was caught in waters off the port of Belawan in Medan, North Sumatra, carrying 34 containers of RBD palm olein en route to Port Klang, Malaysia. The Jakarta Post
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Nigeria - Okomu Rides On Palm Oil Price Spike
Okomu Oil, one of the two commercial palm oil producers listed on the local bourse, is reaping the benefits of current rise in the price of palm oil.
This is reflected in the company’s first-quarter result for the three months ended, March 31, 2022 that shows a sterling 63.2 per cent growth in revenue to N20.49 billion, just as profit after tax jumped by 80.2 per cent to N9.50 billion in the first three months of the year, from N5.27 billion in the same period last year. This shows a jump in earnings per share to N9.96, from N5.53, according to an analysis by Cordros Research.
The three-month revenue of N20.49bn is the highest ever quarterly result by the company, says Cordros Research, which attributed the strong sales to the global price hike in crude palm oil price. Daily Trust
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Jakarta (ANTARA) - The government should absorb palm products from small farmers, as the price of palm Fresh Fruit Bunches (FFB) decreased after the export ban was imposed, according to the House of Representatives' (DPR's) Commission VII member, Mulyanto.
"The government should provide incentives to them because the government must be responsible for the policies implemented, especially for those who are most vulnerable," Mulyanto noted in a written statement here on Saturday.
The House member remarked that one of the important incentives to ease the burden on palm oil farmers is to absorb the FFB products at a reasonable price, for instance, by buying and processing mandatory biofuels from palm oil owned by the people. Antara News
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Indonesia - Navy seizes sixth vessel for allegedly 'smuggling' palm oil
The Indonesian Navy has detained five foreign-flagged vessels and one Indonesian-flagged vessel for attempting to transport palm oil outside the country in direct violation of the palm oil rules currently in force. The government imposed a mandatory domestic market obligation (DMO) for producers in late January, followed in late April by an export ban on cooking oil raw materials, which includes crude palm oil (CPO), refined palm oil and refined, bleached, deodorized (RBD) palm olein. The latest detention involved the Singaporean-flagged MV Mathu Bhum on Thursday, when it was caught in waters off the port of Belawan in Medan, North Sumatra, carrying 34 containers of RBD palm olein en route to Port Klang, Malaysia. The Jakarta Post
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Nigeria - Okomu Rides On Palm Oil Price Spike
Okomu Oil, one of the two commercial palm oil producers listed on the local bourse, is reaping the benefits of current rise in the price of palm oil.
This is reflected in the company’s first-quarter result for the three months ended, March 31, 2022 that shows a sterling 63.2 per cent growth in revenue to N20.49 billion, just as profit after tax jumped by 80.2 per cent to N9.50 billion in the first three months of the year, from N5.27 billion in the same period last year. This shows a jump in earnings per share to N9.96, from N5.53, according to an analysis by Cordros Research.
The three-month revenue of N20.49bn is the highest ever quarterly result by the company, says Cordros Research, which attributed the strong sales to the global price hike in crude palm oil price. Daily Trust
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Thailand - Palm oil farmers and producers pledge to cap bottled palm oil prices
Oil palm farmers, oil extractors and producers have promised Thailand’s Internal Trade department that they will try to maintain the price of bottled palm oil between 64 and 66 baht/L.
Representatives of the three parties told the Internal Trade department that it “can be done” during a meeting last week, led by the department’s chief, Wattanasak Sur-iam.
The department has sought cooperation from the domestic palm oil industry to avoid having to consider imposing ban on palm oil exports or mandating an increase in their safety stocks of palm oil, by 200,000 to 300,000 tonnes. Thai PBS World
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Thailand - Price of bottled palm oil will depend on negotiations with producers: Thai Commerce Minister
The commerce minister admitted that the price of bottled palm oil soared and said he ordered the Department of Internal Trade to work out a reasonable price with stakeholders.
Commerce Minister Jurin Laksanawisit said his ministry was aware of the retail price of bottled palm oil which nearly reached 70 baht per bottle and he ordered Wattanasak Sueaiam, the director-general of the Department of Internal Trade, to discuss a reasonable and affordable price with representatives of farmers, refiners and consumers.
MrJurin said he admitted it was difficult to reach a compromise on the matter. The Ministry of Commerce had discussed it with producers and consequently palm oil had been priced at 62-64 baht per bottle for a certain period, he said. Pattaya Mail
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Bangladesh - Another 1.31 crore litres of palm oil reach Ctg port
A ship carrying 1.31 crore litres of palm oil on Friday arrived in the Chattogram port from Indonesia.
The oil has been imported by leading importer TK Group.
Indonesia imposed an export ban on palm oil on 28 April, but the ship had left for Bangladesh a day before (27 April). TBS News
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Ghana - Ban export of crude palm oil to protect local market – Govt urged
Managing Director of Wilmar Africa Limited producers of Frytol, Kwame Wiafe, has urged the government to ban the export of crude palm oil following Indonesia's ban on crude oil export to protect the local market. GhanaWeb
Oil palm farmers, oil extractors and producers have promised Thailand’s Internal Trade department that they will try to maintain the price of bottled palm oil between 64 and 66 baht/L.
Representatives of the three parties told the Internal Trade department that it “can be done” during a meeting last week, led by the department’s chief, Wattanasak Sur-iam.
The department has sought cooperation from the domestic palm oil industry to avoid having to consider imposing ban on palm oil exports or mandating an increase in their safety stocks of palm oil, by 200,000 to 300,000 tonnes. Thai PBS World
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Thailand - Price of bottled palm oil will depend on negotiations with producers: Thai Commerce Minister
The commerce minister admitted that the price of bottled palm oil soared and said he ordered the Department of Internal Trade to work out a reasonable price with stakeholders.
Commerce Minister Jurin Laksanawisit said his ministry was aware of the retail price of bottled palm oil which nearly reached 70 baht per bottle and he ordered Wattanasak Sueaiam, the director-general of the Department of Internal Trade, to discuss a reasonable and affordable price with representatives of farmers, refiners and consumers.
MrJurin said he admitted it was difficult to reach a compromise on the matter. The Ministry of Commerce had discussed it with producers and consequently palm oil had been priced at 62-64 baht per bottle for a certain period, he said. Pattaya Mail
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Bangladesh - Another 1.31 crore litres of palm oil reach Ctg port
A ship carrying 1.31 crore litres of palm oil on Friday arrived in the Chattogram port from Indonesia.
The oil has been imported by leading importer TK Group.
Indonesia imposed an export ban on palm oil on 28 April, but the ship had left for Bangladesh a day before (27 April). TBS News
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Ghana - Ban export of crude palm oil to protect local market – Govt urged
Managing Director of Wilmar Africa Limited producers of Frytol, Kwame Wiafe, has urged the government to ban the export of crude palm oil following Indonesia's ban on crude oil export to protect the local market. GhanaWeb
Malaysia aims to regain palm oil market share in EU amid global shortage
KUALA LUMPUR, May 6 (Reuters) - Malaysia, the world's second largest palm oil producer, on Friday said it plans to leverage the global edible oil shortage and "political tension in Europe" to regain market share after buyers shunned the commodity over environmental concerns.
Palm oil is used to make everything from lipstick to noodles, but top producers Indonesia and Malaysia have faced boycotts after being accused of clearing rainforests and exploiting migrant workers for the rapid expansion of plantations.
Some companies have introduced "palm oil-free products" in recent years, and the European Union (EU), the world's third-biggest palm buyer, has ruled to phase out palm oil-based biofuels by 2030. Reuters
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Malaysia's end-April palm oil stockpile seen up for first time in six months
KUALA LUMPUR (May 6): Malaysia's palm oil inventories at the end of April likely rose for the first time in six months as production and imports climbed, a Reuters survey showed on Friday (May 6).
The stockpile was seen climbing 5.2% from the previous month to 1.55 million tonnes, its highest since January, according to the median estimate of eight planters, traders and analysts polled by Reuters.
Output in the world's second-largest producer was pegged 4.9% higher at a five-month peak of 1.48 million tonnes. Reuters/ The Edge Markets
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WTO: India raises concerns over trade barriers built in by Indonesia
India has raised concerns at the World Trade Organization (WTO) over a host of trade barriers built in by Indonesia, including export restrictions on palm oil and import curbs on bovine meat and automotive (auto) parts, holding that such measures have adversely impacted India.
“India remains concerned with the Indonesian import substitution programme and export policies. Indonesia is maintaining a number of restrictions on imports, as well as exports, which is affecting Indian businesses — both in terms of exports, as well as supply-chain disruptions. We have raised the matter in the Committee on Market Access and the Council for Trade in Goods at the WTO. However, Indonesia has not provided any clear response in the bilateral talks,” said a government official privy to the talks.
Indonesia last week banned the export of crude and refined palm oil amid global shortage of the edible oil after Russia’s invasion of Ukraine. After Malaysia, Indonesia is the second-largest source of palm oil for India. Business Standard
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Indonesian palm oil export ban threatens global food prices
Indonesia’s ban on the export of palm oil in a bid to bring down domestic cooking oil prices could prove counterproductive, warn analysts and industry representatives.
Indonesia is the world’s biggest producer and exporter of palm oil. In 2021, it produced 46.2 million tonnes of the commodity accounting for over 60 per cent of the global supply. Malaysia ranks second accounting for 25 per cent. Mainly used as cooking oil, palm oil is also used as an ingredient in cosmetics and common household items such as soaps and detergents, and as biofuels. SciDev/ Eco Business
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Canada - The world is running out of oil — vegetable oil
It’s funny how we sometimes take the simple things in life for granted. Cooking oil is certainly one of them, though our appreciation for vegetable oil could soon reach new heights.
Prices have increased by 25 per cent just in the last six months. Palm oil went up 50 per cent, while canola oil is up 55 per cent on average. The world is slowly running out of vegetable oil.
Vegetable oils are not just about frying things — the ingredient is in many things we eat. All household kitchens and restaurants use vegetable oils. Major companies will buy vegetable oils to manufacture the food we buy daily. Pasta, cookies, chocolate, cookies, mayonnaise, and many dry and baked goods contain vegetable oil; it is one of the most universal and versatile ingredients we have at our disposal. The Star
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Expect 'further pressure' on cooking oil prices in Singapore as Indonesia bans palm oil exports: MTI
SINGAPORE: Consumers can expect "further pressure" on the price of cooking oil after Indonesia banned palm oil exports, the Ministry of Trade and Industry (MTI) said on Thursday (May 5).
"For now, the export ban is unlikely to have a significant impact on the overall supply availability of cooking oil in Singapore, albeit we can expect further pressure on prices of cooking oil," an MTI spokesperson said in response to queries from CNA.
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KUALA LUMPUR, May 6 (Reuters) - Malaysia, the world's second largest palm oil producer, on Friday said it plans to leverage the global edible oil shortage and "political tension in Europe" to regain market share after buyers shunned the commodity over environmental concerns.
Palm oil is used to make everything from lipstick to noodles, but top producers Indonesia and Malaysia have faced boycotts after being accused of clearing rainforests and exploiting migrant workers for the rapid expansion of plantations.
Some companies have introduced "palm oil-free products" in recent years, and the European Union (EU), the world's third-biggest palm buyer, has ruled to phase out palm oil-based biofuels by 2030. Reuters
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Malaysia's end-April palm oil stockpile seen up for first time in six months
KUALA LUMPUR (May 6): Malaysia's palm oil inventories at the end of April likely rose for the first time in six months as production and imports climbed, a Reuters survey showed on Friday (May 6).
The stockpile was seen climbing 5.2% from the previous month to 1.55 million tonnes, its highest since January, according to the median estimate of eight planters, traders and analysts polled by Reuters.
Output in the world's second-largest producer was pegged 4.9% higher at a five-month peak of 1.48 million tonnes. Reuters/ The Edge Markets
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WTO: India raises concerns over trade barriers built in by Indonesia
India has raised concerns at the World Trade Organization (WTO) over a host of trade barriers built in by Indonesia, including export restrictions on palm oil and import curbs on bovine meat and automotive (auto) parts, holding that such measures have adversely impacted India.
“India remains concerned with the Indonesian import substitution programme and export policies. Indonesia is maintaining a number of restrictions on imports, as well as exports, which is affecting Indian businesses — both in terms of exports, as well as supply-chain disruptions. We have raised the matter in the Committee on Market Access and the Council for Trade in Goods at the WTO. However, Indonesia has not provided any clear response in the bilateral talks,” said a government official privy to the talks.
Indonesia last week banned the export of crude and refined palm oil amid global shortage of the edible oil after Russia’s invasion of Ukraine. After Malaysia, Indonesia is the second-largest source of palm oil for India. Business Standard
-----
Indonesian palm oil export ban threatens global food prices
Indonesia’s ban on the export of palm oil in a bid to bring down domestic cooking oil prices could prove counterproductive, warn analysts and industry representatives.
Indonesia is the world’s biggest producer and exporter of palm oil. In 2021, it produced 46.2 million tonnes of the commodity accounting for over 60 per cent of the global supply. Malaysia ranks second accounting for 25 per cent. Mainly used as cooking oil, palm oil is also used as an ingredient in cosmetics and common household items such as soaps and detergents, and as biofuels. SciDev/ Eco Business
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Canada - The world is running out of oil — vegetable oil
It’s funny how we sometimes take the simple things in life for granted. Cooking oil is certainly one of them, though our appreciation for vegetable oil could soon reach new heights.
Prices have increased by 25 per cent just in the last six months. Palm oil went up 50 per cent, while canola oil is up 55 per cent on average. The world is slowly running out of vegetable oil.
Vegetable oils are not just about frying things — the ingredient is in many things we eat. All household kitchens and restaurants use vegetable oils. Major companies will buy vegetable oils to manufacture the food we buy daily. Pasta, cookies, chocolate, cookies, mayonnaise, and many dry and baked goods contain vegetable oil; it is one of the most universal and versatile ingredients we have at our disposal. The Star
-----
Expect 'further pressure' on cooking oil prices in Singapore as Indonesia bans palm oil exports: MTI
SINGAPORE: Consumers can expect "further pressure" on the price of cooking oil after Indonesia banned palm oil exports, the Ministry of Trade and Industry (MTI) said on Thursday (May 5).
"For now, the export ban is unlikely to have a significant impact on the overall supply availability of cooking oil in Singapore, albeit we can expect further pressure on prices of cooking oil," an MTI spokesperson said in response to queries from CNA.
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Malaysia - Palm Retreats From Record on Signs Malaysian Output to Rebound
Palm oil retreated from a record high on optimism that Malaysian output will rebound, while the market is also on the lookout for signs that Indonesia will ease its controversial export ban.
Futures for July delivery fell nearly 5%, with the most-active, rolling contract posting its biggest daily drop since mid-March as markets reopened after the Eid holiday. Futures closed at an all-time high on Friday as Indonesia’s ban threatened to curb supplies.
The strong production season for crude palm oil in Malaysia should pick up with workers returning to plantations as the Ramadan season winds down, Avtar Sandu, senior manager for Asian commodities at Phillip Nova Pte Ltd., said in a note. Waning local demand for edible oils after the festive season may also provide a respite from surging prices, he said. Bloomberg
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UK - Turbulence hits edible oils markets after Indonesia’s latest palm oil u-turn
The global market for edible oils faced further disruption after a palm oil export ban announced last week by Indonesia, the world’s main supplier.
The prohibition, which kicked in on Thursday (28 April), came after a week of u-turns by the government in Jakarta, which announced a ban last week before saying on Monday (25 April) it would allow exports of crude palm oil.
On Wednesday (27 April), however, the government said again all exports of palm, the world’s most widely used edible oil, would be halted, citing the need to ensure “abundant” cooking oil supplies ahead of the holiday marking the end of Ramadan.
While at first “no one was really sure what [the ban] meant, the market was kind of guessing”, by Wednesday the market was “in turmoil”, according to Kyle Holland, an analyst with Mintec, who said “spillover demand from limited palm oil supplies could lead to other oils getting more expensive”. The Grocer
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Pakistan left reeling from Jokowi’s decision to ban Indonesian palm oil exports
Pakistan is banking that Indonesia’s government will lift the ban it imposed on palm oil exports last week before its historically low stocks run out.
Retail prices of branded edible oil in Pakistan rose by six per cent to 530 rupees (US$6.94) per litre within hours of Indonesia’s announcement on Thursday.
Pakistan’s population of some 220 million depends on Indonesia for between 55 per cent and 60 per cent of the edible oil it consumes. SCMP
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Korea - Nongshim, Ottogi hit hard by soaring palm oil prices
Nongshim and Ottogi, the country's top two instant noodle makers, have been hit hard by surging international prices of palm oil and wheat. However, the two firms are cautious about increasing the prices of their processed foods because they already did that last year causing consumers to bristle, a company official said.
"The prices of palm oil and wheat have continued to increase for several months now and it is right for Nongshim and Ottogi to raise the prices of their instant noodles. However, it's hard to do that. "Koreans are particularly sensitive about the price hikes of instant noodles as they are popular here due to their affordability," a source at a food manufacturer said, declining to be named. "There won't be any price hikes of instant noodles by local firms anytime soon, but it would result in a decrease in their operating profits, so their woes will only grow deeper." Korea Times
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UK - Supermarkets try to get ahead of panic-buying
Tesco, Sainsbury’s and other UK supermarkets are limiting sales of staples such as cooking oil as prices spike due to renewed supply pressures
At almost every level of the food supply chain, costs are going up. This, combined with the loss of key products from Russia and Ukraine due to the war, has left retailers with the choice either to raise prices and lose market share, or hold fast and give up operating margins. Tesco (TSCO), J Sainsbury (SBRY) and Marks & Spencer (MKS) have largely opted for the latter.
Sainsbury’s has forecast a drop in food margins, but sees a “small volume decline [being] offset by a small price increase” in the food section, according to chief financial officer Kevin O’Byrne.
The market share competition will only get fiercer as shoppers look to protect their pennies. “The recent deterioration in market share performance is likely to be one of the reasons that both Asda and Morrisons have announced new investments in price,” said Numis analyst Damian McNeela.
The price of sunflower oil is indicative of the pressures currently faced by retailers: it shot up by 60 per cent after Russia invaded Ukraine, from £1,130 per metric tonne in February to over £1,800 in March, as fighting disrupted exports from the two countries, which together represent 55 per cent of the global supply. Investors Chronicle
Palm oil retreated from a record high on optimism that Malaysian output will rebound, while the market is also on the lookout for signs that Indonesia will ease its controversial export ban.
Futures for July delivery fell nearly 5%, with the most-active, rolling contract posting its biggest daily drop since mid-March as markets reopened after the Eid holiday. Futures closed at an all-time high on Friday as Indonesia’s ban threatened to curb supplies.
The strong production season for crude palm oil in Malaysia should pick up with workers returning to plantations as the Ramadan season winds down, Avtar Sandu, senior manager for Asian commodities at Phillip Nova Pte Ltd., said in a note. Waning local demand for edible oils after the festive season may also provide a respite from surging prices, he said. Bloomberg
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UK - Turbulence hits edible oils markets after Indonesia’s latest palm oil u-turn
The global market for edible oils faced further disruption after a palm oil export ban announced last week by Indonesia, the world’s main supplier.
The prohibition, which kicked in on Thursday (28 April), came after a week of u-turns by the government in Jakarta, which announced a ban last week before saying on Monday (25 April) it would allow exports of crude palm oil.
On Wednesday (27 April), however, the government said again all exports of palm, the world’s most widely used edible oil, would be halted, citing the need to ensure “abundant” cooking oil supplies ahead of the holiday marking the end of Ramadan.
While at first “no one was really sure what [the ban] meant, the market was kind of guessing”, by Wednesday the market was “in turmoil”, according to Kyle Holland, an analyst with Mintec, who said “spillover demand from limited palm oil supplies could lead to other oils getting more expensive”. The Grocer
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Pakistan left reeling from Jokowi’s decision to ban Indonesian palm oil exports
- More than 55 per cent of Pakistan’s population of 220 million depends on Indonesia for its edible oil
- Spiking international edible oil prices, following the loss of sunflower oil supplies from Russia and Ukraine have also affected Pakistan’s edible oil inventory
Pakistan is banking that Indonesia’s government will lift the ban it imposed on palm oil exports last week before its historically low stocks run out.
Retail prices of branded edible oil in Pakistan rose by six per cent to 530 rupees (US$6.94) per litre within hours of Indonesia’s announcement on Thursday.
Pakistan’s population of some 220 million depends on Indonesia for between 55 per cent and 60 per cent of the edible oil it consumes. SCMP
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Korea - Nongshim, Ottogi hit hard by soaring palm oil prices
Nongshim and Ottogi, the country's top two instant noodle makers, have been hit hard by surging international prices of palm oil and wheat. However, the two firms are cautious about increasing the prices of their processed foods because they already did that last year causing consumers to bristle, a company official said.
"The prices of palm oil and wheat have continued to increase for several months now and it is right for Nongshim and Ottogi to raise the prices of their instant noodles. However, it's hard to do that. "Koreans are particularly sensitive about the price hikes of instant noodles as they are popular here due to their affordability," a source at a food manufacturer said, declining to be named. "There won't be any price hikes of instant noodles by local firms anytime soon, but it would result in a decrease in their operating profits, so their woes will only grow deeper." Korea Times
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UK - Supermarkets try to get ahead of panic-buying
Tesco, Sainsbury’s and other UK supermarkets are limiting sales of staples such as cooking oil as prices spike due to renewed supply pressures
At almost every level of the food supply chain, costs are going up. This, combined with the loss of key products from Russia and Ukraine due to the war, has left retailers with the choice either to raise prices and lose market share, or hold fast and give up operating margins. Tesco (TSCO), J Sainsbury (SBRY) and Marks & Spencer (MKS) have largely opted for the latter.
Sainsbury’s has forecast a drop in food margins, but sees a “small volume decline [being] offset by a small price increase” in the food section, according to chief financial officer Kevin O’Byrne.
The market share competition will only get fiercer as shoppers look to protect their pennies. “The recent deterioration in market share performance is likely to be one of the reasons that both Asda and Morrisons have announced new investments in price,” said Numis analyst Damian McNeela.
The price of sunflower oil is indicative of the pressures currently faced by retailers: it shot up by 60 per cent after Russia invaded Ukraine, from £1,130 per metric tonne in February to over £1,800 in March, as fighting disrupted exports from the two countries, which together represent 55 per cent of the global supply. Investors Chronicle
Indonesia's palm oil export ban does not threaten EU supply -producers
PARIS — Indonesia’s ban on palm oil products does not raise concern for the supply of the European Union market as the bloc has reserves for several weeks, EU vegetable oil group FEDIOL said on Tuesday.
The world’s top palm oil producer last week imposed an export ban on raw materials for cooking oil, including several products such as refined, bleached and deodorized palm olein (RBD), crude and refined palm oil, in an attempt to lower cooking oil prices.
The EU imports about 335,000 tonnes of crude palm oil from Indonesia on average per month, representing over 40% of total crude palm oil imports, FEDIOL said.
It also imports from other origins, including Malaysia, Papua New Guinea and some Latin American countries.
“There are currently 4-6 weeks of palm oil volumes available in European storage facilities and the temporary decision by the Indonesian government does not give rise to concern for the supply on the European market in the short term,” FEDIOL said. Financial Post
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India - Sufficient edible oil stock to face Indonesia's palm oil exports ban: Govt
Palm oil — including crude and refined oil — constitutes roughly around 62% of the total edible oil imports in the country.
India has an optimum stock of all edible oils to cover the lean period due to Indonesia's ban on palm oil exports, the government says.
This comes days after Indonesia, the world's largest palm oil producer, announced a ban on palm oil exports to increase domestic availability and to control rising prices.
The government, citing industry sources, says the present stock of all edible oils in the country is around 21 lakh metric tonnes (LMT) and around 12 LMT is in transit arriving in May, 2022. Fortune India
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More SAF Production Plans Emerge Globally
The accelerating trend in offtake agreement and production plans for sustainable aviation fuel (SAF) continues, with new initiatives to establish plants in Sweden and Thailand.
South Africa’s Sasol ecoFT has signed a letter with Swedish energy company Uniper and the municipality of Solleftea to investigate the possibility of establishing an industrial-scale SAF production facility under the SkyFuelH2 joint venture.
The ambition is to produce SAF using green hydrogen and carbon from biomass using Sasol’s Fischer-Tropsch technology. The selected site at Langsele near Solleftea has access to renewable electricity and forest biomass.
In Thailand, energy company Bangchak Group has signed an MOU with biofuel producer BBGI and palm oil producer Thanachok Oil Light in preparation for construction of a plant within an existing petroleum refinery to produce SAF from used cooking oil. Aviation Week
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Ferrero releases third Cocoa and Forests Initiative report on tackling industry-linked deforestation
Ferrero has offered a key update on its progress on the Cocoa & Forests Initiative (CFI) projects designed to tackle deforestation, working alongside the governments of Ivory Coast and Ghana, as well as the wider sector, for its third annual report, writes Neill Barston.
The venture, which was originally established in 2017 between 35 major sector businesses including Mars ,Mondelez, Ferrero, Hershey, Cargill and Barry Callebaut, Olam, Lindt & Sprüngli Group, Nestlé, General Mills, Cémoi and Puratos, it has strived to work with regional authorities and civil organisations to deliver a reduction of environmental impacts and help preserve valuable ecosystems in West Africa.
However, as Confectionery Production has noted, while the projects had identified key measure to help improve deforestation linked to the cocoa trade, there remain significant issues, as shown by satellite-mapped studies by Mighty Earth that pointed to the fact that key forested areas were still being lost in the region at a considerable rate, despite the efforts of industry. Food Ingredients First
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Nigeria Requires N60bn Annually to Meet Local Demand for Palm Oil
The Central Bank of Nigeria (CBN) yesterday said the country needed about N60 billion annually for the importation of palm oil to meet domestic consumption.
The bank also stated that to date, a total sum of over N45.03 billion had been disbursed to stakeholders in the oil palm industry to aid the cultivation of about 31, 442 hectares to further grow the commodity.
CBN Governor, Mr. Godwin Emefiele, in a document obtained by THISDAY, said the apex bank’s intervention would help unleash the potential of the oil palm value chain with accompanying support for the economic diversification plan as well as the industrialisation aspiration of the country.
The importation demand was expected to cover both the Technical Palm Oil (TPO) used in industry and Special Palm Oil (SPO) used by households. This Day Live
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Nigeria - FG Moves To Boost Palm Oil Production, Trains Farmers In Edo
AS part of efforts geared towards boosting palm oil production in the country, the Federal Ministry of Agriculture and Rural Development has partnered with the Nigerian Institute for Oil Palm Research (NIFOR) to train oil palm farmers in the Edo State.
Speaking at the workshop, held in Benin recently, the Minister for Agriculture and Rural Development, Muhammed Abubakar, said the farmers would be trained on pest and soil fertility management.
Abubakar noted that the oil palm value chain was among the commodity value chains being promoted by the ministry, stressing the need to build the capacity of stakeholders in the sector.
Represented by the Deputy Director of the ministry, Mr Chukwuemeka Ukattah, the minister said the goal of the training was to ensure that Nigeria becomes a leading producer of oil palm, globally. “Some of the achievements recorded by the ministry in its bid to improve the oil palm value chain include the production of 180,000 improved tender-sprouted nuts by NIFOR. Tribune OnlineNG
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Palm oil export restriction by Indonesia to affect export of processed palm oil from Nepal
KATHMANDU, May 2: Nepal’s export of processed palm oil along with the manufactured goods using this oil are likely to face a serious hit after Indonesia imposed a ban on the export of palm oil citing the ongoing shortage of edible oil triggered by the Russia-Ukraine war.
According to international media, Indonesia, since last Wednesday, imposed restrictions on the export of its palm oil. The price of palm oil has recently surged from US $ 1.03 per liter to $ 1.52 per liter in the Indonesian market.
Since the past few years, palm oil has been the main export item of Nepal, giving the country billions of rupees in its export earnings. Nepal exported palm oil worth Rs 33.61 billion to India during one month of mid-March and mid-April this year. My Republica
-----
Pakistan - Indonesian palm oil: Envoy can help ensure resumption of supply?
ISLAMABAD: Pakistan needs to make a formal request to the Indonesian ambassador to resume supply of palm oil to Pakistan on humanitarian grounds as global supply of basic and essential food commodities needs to continue without interpretation.
Talking to Business Recorder here on Saturday, Abdul Waheed, former chairman Pakistan Vanaspati Manufactures Association (PVMA), said that it is a basic issue of human rights which needs to be considered by our brotherly Islamic country. The impact of Indonesia’s government decision to ban the export of palm oil in general and palm olein, in particular, would create a serious shortage of the commodity in Pakistan. Brecorder
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India - Govt may cut cess on edible oil imports to reduce prices
NEW DELHI : The government is mulling a reduction in the cess charged on edible oil imports to soften a spike in prices following the recent Indonesian ban on shipments of crude palm oil, which account for nearly half of India’s imports of the commodity.
The ministry of consumer affairs, food and public distribution is likely to propose a cut in the 5% Agriculture Infrastructure Development Cess (AIDC) as India explores alternative channels for palm oil supplies, according to a government official. A final call will be taken by the department of revenue in the ministry of finance. Mint
-----
Indonesia to turn palm oil methane into biofuel with Japanese help
TOKYO -- Japanese engineering giant JGC Holdings is teaming up with Indonesian state energy company Pertamina to turn methane generated in palm oil production into a biofuel. Nikkei Asia
-----
Korea - POSCO International, GS Caltex cooperate in eco-friendly bio business
POSCO International and GS Caltex have joined hands to promote an eco-friendly bio business based on palm oil.
POSCO International signed a memorandum of understanding (MOU) for the joint development of the eco-friendly bio business at GS Tower, Friday, in the presence of POSCO International CEO Joo Si-bo and GS Caltex CEO Hur Sae-hong.
The two companies plan to expand the value chain gradually from raw material refining to bioproduct production and the next-generation biofuel business through waste oil recovery.
POSCO International, which possesses palm oil procurement capabilities, and GS Caltex, which has expertise in the biofuel field, will be able to utilize each other's strengths to increase the added value of palm oil and contribute to greenhouse gas reductions by advancing into the eco-friendly bioindustry. It is significant that the two companies will be able to respond jointly to food security and climate change risks through the convergence of the food and energy industries. Korea Times
-----
India - Andhra Pradesh: Oil palm ryots cheer record jump in price
AMARAVATI: The Ukraine war is helping oil palm farmers in the state. Palm fruit now costs ₹22,000 per tonne from the previous ₹10,000 per tonne. Edible oil prices continue to soar in open market due to shortage.
The horticulture department is hoping that the current trend will make farmers of upland areas switch to oil palm cultivation. "The oil palm is fetching nearly ₹2-2.5 lakh profit per acre which is unseen in the past," said Ch Janaki Ramaiah, a cultivator from West Godavari district. Times of India
-----
Indonesia’s palm oil export ban sparks concern over global food prices
Indonesia announced on Friday a ban on palm oil exports in a bid to stymie the soaring domestic price of cooking oil. The ban from the world’s largest exporter has rocked an already precarious edible oil market. The price of cooking oil has soared as war rages between sunflower oil producers Russia and Ukraine.
Palm oil is the most produced, consumed and traded edible oil in the world.
The price of cooking oil has risen substantially as a result of Russia’s invasion of Ukraine. Both Ukraine and Russia are major exporters of sunflower oil.
Indonesian Finance Minister Sri Mulyani Indrawati told Reuters that Jakarta understood that the ban would hurt other countries, but stressed that it was necessary to bring down the domestic price of cooking oil as demand exceeds supplies.
Indrawati said that the government made what amounted to one of the “harshest moves” possible after previous measures failed to stabilize prices. The Statesman
-----
PARIS — Indonesia’s ban on palm oil products does not raise concern for the supply of the European Union market as the bloc has reserves for several weeks, EU vegetable oil group FEDIOL said on Tuesday.
The world’s top palm oil producer last week imposed an export ban on raw materials for cooking oil, including several products such as refined, bleached and deodorized palm olein (RBD), crude and refined palm oil, in an attempt to lower cooking oil prices.
The EU imports about 335,000 tonnes of crude palm oil from Indonesia on average per month, representing over 40% of total crude palm oil imports, FEDIOL said.
It also imports from other origins, including Malaysia, Papua New Guinea and some Latin American countries.
“There are currently 4-6 weeks of palm oil volumes available in European storage facilities and the temporary decision by the Indonesian government does not give rise to concern for the supply on the European market in the short term,” FEDIOL said. Financial Post
-----
India - Sufficient edible oil stock to face Indonesia's palm oil exports ban: Govt
Palm oil — including crude and refined oil — constitutes roughly around 62% of the total edible oil imports in the country.
India has an optimum stock of all edible oils to cover the lean period due to Indonesia's ban on palm oil exports, the government says.
This comes days after Indonesia, the world's largest palm oil producer, announced a ban on palm oil exports to increase domestic availability and to control rising prices.
The government, citing industry sources, says the present stock of all edible oils in the country is around 21 lakh metric tonnes (LMT) and around 12 LMT is in transit arriving in May, 2022. Fortune India
-----
More SAF Production Plans Emerge Globally
The accelerating trend in offtake agreement and production plans for sustainable aviation fuel (SAF) continues, with new initiatives to establish plants in Sweden and Thailand.
South Africa’s Sasol ecoFT has signed a letter with Swedish energy company Uniper and the municipality of Solleftea to investigate the possibility of establishing an industrial-scale SAF production facility under the SkyFuelH2 joint venture.
The ambition is to produce SAF using green hydrogen and carbon from biomass using Sasol’s Fischer-Tropsch technology. The selected site at Langsele near Solleftea has access to renewable electricity and forest biomass.
In Thailand, energy company Bangchak Group has signed an MOU with biofuel producer BBGI and palm oil producer Thanachok Oil Light in preparation for construction of a plant within an existing petroleum refinery to produce SAF from used cooking oil. Aviation Week
-----
Ferrero releases third Cocoa and Forests Initiative report on tackling industry-linked deforestation
Ferrero has offered a key update on its progress on the Cocoa & Forests Initiative (CFI) projects designed to tackle deforestation, working alongside the governments of Ivory Coast and Ghana, as well as the wider sector, for its third annual report, writes Neill Barston.
The venture, which was originally established in 2017 between 35 major sector businesses including Mars ,Mondelez, Ferrero, Hershey, Cargill and Barry Callebaut, Olam, Lindt & Sprüngli Group, Nestlé, General Mills, Cémoi and Puratos, it has strived to work with regional authorities and civil organisations to deliver a reduction of environmental impacts and help preserve valuable ecosystems in West Africa.
However, as Confectionery Production has noted, while the projects had identified key measure to help improve deforestation linked to the cocoa trade, there remain significant issues, as shown by satellite-mapped studies by Mighty Earth that pointed to the fact that key forested areas were still being lost in the region at a considerable rate, despite the efforts of industry. Food Ingredients First
-----
Nigeria Requires N60bn Annually to Meet Local Demand for Palm Oil
The Central Bank of Nigeria (CBN) yesterday said the country needed about N60 billion annually for the importation of palm oil to meet domestic consumption.
The bank also stated that to date, a total sum of over N45.03 billion had been disbursed to stakeholders in the oil palm industry to aid the cultivation of about 31, 442 hectares to further grow the commodity.
CBN Governor, Mr. Godwin Emefiele, in a document obtained by THISDAY, said the apex bank’s intervention would help unleash the potential of the oil palm value chain with accompanying support for the economic diversification plan as well as the industrialisation aspiration of the country.
The importation demand was expected to cover both the Technical Palm Oil (TPO) used in industry and Special Palm Oil (SPO) used by households. This Day Live
-----
Nigeria - FG Moves To Boost Palm Oil Production, Trains Farmers In Edo
AS part of efforts geared towards boosting palm oil production in the country, the Federal Ministry of Agriculture and Rural Development has partnered with the Nigerian Institute for Oil Palm Research (NIFOR) to train oil palm farmers in the Edo State.
Speaking at the workshop, held in Benin recently, the Minister for Agriculture and Rural Development, Muhammed Abubakar, said the farmers would be trained on pest and soil fertility management.
Abubakar noted that the oil palm value chain was among the commodity value chains being promoted by the ministry, stressing the need to build the capacity of stakeholders in the sector.
Represented by the Deputy Director of the ministry, Mr Chukwuemeka Ukattah, the minister said the goal of the training was to ensure that Nigeria becomes a leading producer of oil palm, globally. “Some of the achievements recorded by the ministry in its bid to improve the oil palm value chain include the production of 180,000 improved tender-sprouted nuts by NIFOR. Tribune OnlineNG
-----
Palm oil export restriction by Indonesia to affect export of processed palm oil from Nepal
KATHMANDU, May 2: Nepal’s export of processed palm oil along with the manufactured goods using this oil are likely to face a serious hit after Indonesia imposed a ban on the export of palm oil citing the ongoing shortage of edible oil triggered by the Russia-Ukraine war.
According to international media, Indonesia, since last Wednesday, imposed restrictions on the export of its palm oil. The price of palm oil has recently surged from US $ 1.03 per liter to $ 1.52 per liter in the Indonesian market.
Since the past few years, palm oil has been the main export item of Nepal, giving the country billions of rupees in its export earnings. Nepal exported palm oil worth Rs 33.61 billion to India during one month of mid-March and mid-April this year. My Republica
-----
Pakistan - Indonesian palm oil: Envoy can help ensure resumption of supply?
ISLAMABAD: Pakistan needs to make a formal request to the Indonesian ambassador to resume supply of palm oil to Pakistan on humanitarian grounds as global supply of basic and essential food commodities needs to continue without interpretation.
Talking to Business Recorder here on Saturday, Abdul Waheed, former chairman Pakistan Vanaspati Manufactures Association (PVMA), said that it is a basic issue of human rights which needs to be considered by our brotherly Islamic country. The impact of Indonesia’s government decision to ban the export of palm oil in general and palm olein, in particular, would create a serious shortage of the commodity in Pakistan. Brecorder
-----
India - Govt may cut cess on edible oil imports to reduce prices
NEW DELHI : The government is mulling a reduction in the cess charged on edible oil imports to soften a spike in prices following the recent Indonesian ban on shipments of crude palm oil, which account for nearly half of India’s imports of the commodity.
The ministry of consumer affairs, food and public distribution is likely to propose a cut in the 5% Agriculture Infrastructure Development Cess (AIDC) as India explores alternative channels for palm oil supplies, according to a government official. A final call will be taken by the department of revenue in the ministry of finance. Mint
-----
Indonesia to turn palm oil methane into biofuel with Japanese help
TOKYO -- Japanese engineering giant JGC Holdings is teaming up with Indonesian state energy company Pertamina to turn methane generated in palm oil production into a biofuel. Nikkei Asia
-----
Korea - POSCO International, GS Caltex cooperate in eco-friendly bio business
POSCO International and GS Caltex have joined hands to promote an eco-friendly bio business based on palm oil.
POSCO International signed a memorandum of understanding (MOU) for the joint development of the eco-friendly bio business at GS Tower, Friday, in the presence of POSCO International CEO Joo Si-bo and GS Caltex CEO Hur Sae-hong.
The two companies plan to expand the value chain gradually from raw material refining to bioproduct production and the next-generation biofuel business through waste oil recovery.
POSCO International, which possesses palm oil procurement capabilities, and GS Caltex, which has expertise in the biofuel field, will be able to utilize each other's strengths to increase the added value of palm oil and contribute to greenhouse gas reductions by advancing into the eco-friendly bioindustry. It is significant that the two companies will be able to respond jointly to food security and climate change risks through the convergence of the food and energy industries. Korea Times
-----
India - Andhra Pradesh: Oil palm ryots cheer record jump in price
AMARAVATI: The Ukraine war is helping oil palm farmers in the state. Palm fruit now costs ₹22,000 per tonne from the previous ₹10,000 per tonne. Edible oil prices continue to soar in open market due to shortage.
The horticulture department is hoping that the current trend will make farmers of upland areas switch to oil palm cultivation. "The oil palm is fetching nearly ₹2-2.5 lakh profit per acre which is unseen in the past," said Ch Janaki Ramaiah, a cultivator from West Godavari district. Times of India
-----
Indonesia’s palm oil export ban sparks concern over global food prices
Indonesia announced on Friday a ban on palm oil exports in a bid to stymie the soaring domestic price of cooking oil. The ban from the world’s largest exporter has rocked an already precarious edible oil market. The price of cooking oil has soared as war rages between sunflower oil producers Russia and Ukraine.
Palm oil is the most produced, consumed and traded edible oil in the world.
The price of cooking oil has risen substantially as a result of Russia’s invasion of Ukraine. Both Ukraine and Russia are major exporters of sunflower oil.
Indonesian Finance Minister Sri Mulyani Indrawati told Reuters that Jakarta understood that the ban would hurt other countries, but stressed that it was necessary to bring down the domestic price of cooking oil as demand exceeds supplies.
Indrawati said that the government made what amounted to one of the “harshest moves” possible after previous measures failed to stabilize prices. The Statesman
-----
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Palm oil news. May 2022. CSPO Watch