CPO outlook : Well-oiled
Bareksa • 13 Mar 2014
Hasil produksi kelapa sawit (IMQ21.COM)
Some speakers also continued to see risks from the improving production of other vegetable oils
The Jakarta Post - Our recent attendance at a major palm oil conference in Kuala Lumpur with 1,593 registered delegates from over 50 countries revealed a mostly positive outlook on crude palm oil (CPO) due to the higher biodiesel mandate and weather risks. However, some speakers also continued to see risks from the improving production of other vegetable oils.
Dorab Mistry of Godrej International believes the Malaysia CPO price could go as high as 3,500 Malaysian ringgit per ton if an El Niño weather pattern occurs and about 3,000 ringgit per ton if it does not occur. Similarly, James Fry of LMC International believes that if the Brent oil price remains at US$110 per barrel, the Rotterdam CPO price could reach $1,030 this year. Thomas Mielke takes a slightly more conservative approach, estimating a Rotterdam CPO price of $970 per ton.