InfoSAWIT, NEW DELHI – Crude palm oil (CPO) contract at Malaysia Derivatives Exchange decreased on Monday (11/12/2023). It happened for the decreasing export that might mean decreasing demands in the early days of cold season.

As quoted from Reuters, CPO contract price with the code FCPOc3 for February 2024 delivery at Malaysia Derivatives Exchange got cheaper RM 13  per ton or about 0,35% to be RM 3.727 (US$ 796,54) per ton pada in the midday.

A trade in Mumbai said that the decreasing exports from Malaysia meant the weak demands. “There is no doubt because the demands tend to decrease a little bit in cold season,” he said.

According to cargo surveyor - Intertek Testing Services, palm oil exports from Malaysia on 1 - 10 December decreased 7,4% to be 368.990 metric tons from 398,375 ton in the same period last month.

Reuters noted that palm oil demands usually decrease in the early days of cold season because the lower temperature that makes vegetable oil frozen and that is why the consumers are difficult to use it.

Soyoil at Chicago Board of Trade BOc2 increased 0,5%.

Indonesia, the biggest palm oil producer in the world would continue biodiesel mixture up to 35% inn 2024 and allocated 13,41 million kiloliters of biodiesel for next year, or one million kiloliters higher than the allocation in 2023. (T2)