From 3013a7a7905a8a9bd2378579dc32c9ddd9252ad6 Mon Sep 17 00:00:00 2001 From: Dewey Maresca Date: Sun, 12 Jan 2025 06:56:35 +0100 Subject: [PATCH] Add 'Indonesia Palm Oil Output Seen Recovering in 2025, However Biodiesel' --- ...Recovering-in-2025%2C-However-Biodiesel.md | 28 +++++++++++++++++++ 1 file changed, 28 insertions(+) create mode 100644 Indonesia-Palm-Oil-Output-Seen-Recovering-in-2025%2C-However-Biodiesel.md diff --git a/Indonesia-Palm-Oil-Output-Seen-Recovering-in-2025%2C-However-Biodiesel.md b/Indonesia-Palm-Oil-Output-Seen-Recovering-in-2025%2C-However-Biodiesel.md new file mode 100644 index 0000000..b0e8fb7 --- /dev/null +++ b/Indonesia-Palm-Oil-Output-Seen-Recovering-in-2025%2C-However-Biodiesel.md @@ -0,0 +1,28 @@ +
[Indonesia prepares](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) to carry out B40 in January
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Because case, prices may rally 10%-15% in Jan-March, Mielke says
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B40 will [require extra](https://www.marketscreener.com/quote/stock/MISSION-NEWENERGY-LIMITED-178469/company/) 3 mln tons feedstock, GAPKI states
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[Malaysia palm](https://www.sec.gov/Archives/edgar/data/1463471/000165495419013063/R31.htm) oil criteria at highest since mid-2022
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India might [withdraw import](https://biodieselmagazine.com/articles/felda-global-buys-missions-kuantan-port-plant-for-11-5-million-9053) tax hike amid inflation, Mistry states
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(Adds expert remarks, updates Malaysia's palm oil benchmark rate)
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By [Bernadette](https://pitchbook.com/profiles/company/51278-86) Christina
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NUSA DUA, Indonesia, Nov 8 (Reuters) - Indonesia's [palm oil](https://forest500.org/rankings/companies/mission-newenergy-limited) output is forecast to recover in 2025 after an expected drop this year, but rates are expected to stay raised due to [planned](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) expansion of the mandate, industry analysts stated.
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The palm oil standard cost in Malaysia has actually increased more than 35% this year, lifted by sluggish output and Indonesia's strategy to [increase](https://www.marketscreener.com/quote/stock/MISSION-NEWENERGY-LIMITED-178469/company/) the mandatory domestic [biodiesel](https://www.businessnews.com.au/Company/Mission-NewEnergy) blend to 40% in January from 35% now in an effort to minimize fuel imports.
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[Palm oil](https://www.sec.gov/Archives/edgar/data/1463471/000165495419013063/R31.htm) output next year in leading producer Indonesia is expected to [recover](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) by 1.5 million metric lots compared to an estimated drop of just over a million lots this year, Julian McGill, managing director at Glenauk Economics, informed the Indonesia Palm Oil Conference on Friday.
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Thomas Mielke, head of Hamburg-based research study firm Oil World, said he expects Indonesia's palm oil production to [increase](https://www.nasdaq.com/market-activity/ipos/overview?dealId=804419-65608) by as much as 2 million heaps next year after a 2.5 million heap drop in 2024.
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While Indonesia's output is anticipated to improve, provide from in other places and of other vegetable oils is seen tightening.
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Palm oil output in neighbouring Malaysia is anticipated to dip slightly next year after increasing by an estimated 1 million tons in 2024.
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"We would need a recovery in palm in 2025 due to the fact that combined exports of soya, sunflower and rapeseed oils are declining," Mielke stated.
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'FRIGHTENING' PRICE SURGE
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The price surge in [palm oil](https://www.marketscreener.com/quote/stock/MISSION-NEWENERGY-LIMITED-178469/company/) in the past seven weeks has been "frightening" for buyers, Mielke stated, adding that it would rally by 10%-15% in January-March if Indonesia enforces the so-called B40 policy.
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The Indonesia Palm Oil Association said [additional feedstock](https://www.abnnewswire.net/companies/en/31347/%E0%B8%9A%E0%B8%A3%E0%B8%B4%E0%B8%A9%E0%B8%B1%E0%B8%97-Mission-NewEnergy-%E0%B8%88%E0%B8%B3%E0%B8%81%E0%B8%B1%E0%B8%94.html/4) of around 3 million loads will be required for B40 execution, [deteriorating export](https://www.marketscreener.com/quote/stock/MISSION-NEWENERGY-LIMITED-178469/company/) supply.
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The current palm oil premium has already triggered palm to lose market share against other oils, Mielke added.
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Malaysian palm oil rates are seen [trading](https://www.intelligentinvestor.com.au/shares/asx-mbt/mission-newenergy-limited/share-price) at around $950 to $1,050 per metric lot in 2025, McGill of Glenauk estimated.
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Benchmark Malaysian palm oil touched 5,104 ringgit ($1,165.30) on Friday, the highest because mid-2022.
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"Sentiment right now is red-hot and extremely bullish, we have to take care," said Dorab Mistry, director at Indian durable goods company Godrej International.
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He anticipated the Malaysian price around 5,000 [ringgit](https://www.abnnewswire.net/companies/en/31347/%E0%B8%9A%E0%B8%A3%E0%B8%B4%E0%B8%A9%E0%B8%B1%E0%B8%97-Mission-NewEnergy-%E0%B8%88%E0%B8%B3%E0%B8%81%E0%B8%B1%E0%B8%94.html/4) and above up until June 2025.
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Mielke and [Mistry prompted](https://www.investing.com/equities/mission-newenergy-ltd-company-profile) [Indonesia](https://forest500.org/rankings/companies/mission-newenergy-limited) to
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consider delaying
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B40 implementation on concern about its influence on food consumers.
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Meanwhile, Mistry anticipated top palm oil importer India to withdraw its
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import responsibility hike
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enforced from September after elections in the state of Maharashtra in November. ($1 = 4.3800 ringgit) (Reporting by [Bernadette Christina](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) Munthe Writing by Fransiska Nangoy \ No newline at end of file