Increase in Production Potential to Press Malaysian CPO Price
By : Abraham Sihombing And Aldo Bella Putra | Tuesday, October 24 2017 - 21:00 IWST
INDUSTRY.co.id - Jakarta - Despite opening up to 2,793 ringgit per ton price on Tuesday (24/10/2017), Malaysia crude palm oil (CPO) price is expected to decline again.
"The market players are worried about the increase in CPO production volume and the potential strengthening of the Malaysian ringgit rate against the US dollar," said Faisyal, a commodity stock analyst at PT Monex Investindo Futures, in Jakarta, Tuesday (24/10/2017).
On Monday, the Southern Palm Oil Millers Association (SPOMA) published data on Malaysia's CPO production volume for October 1-20, 2017 which showed a 20.6% increase over the same period in the previous month.
Meanwhile, Malaysian ringgit rates up to 10:50 pm today are observed at the level of 4.2325 per US dollar, or rose 0.08%. The strengthening of the ringgit rate makes CPO prices more expensive for other currency owners.
The price of CPO at the close of trading yesterday ended at 2,787 ringgit per ton, or 1.7% higher than on the previous trading day. The price increase is supported by rising prices of other vegetable oils and exports.
In the future, according to Faisyal, if the price of CPO can survive stable, then the price will likely reach 2,825 ringgit per ton. If the opportunity price can be exceeded, then the price of CPO Malaysia has the potential to reach 2855 per unit.
"Meanwhile, if the price of CPO drops and breaks 2,785 ringgit per ton, then the price of vegetable oil is likely to fall to the level of 2760 ringgit per ton," added Faisyal. (Abraham Sihombing)
Read Also
Ministry of Trade Holds 12th Gambir Trade Talk 'Indonesia's Foreign…
Wilmar International and LDC Visit Orangutan Conservation Area on…
Sawit Sumbermas Sarana Prioritizes Commitment to Protect the Environment…
Sawit Sumbermas Sarana Preparing RSPO Virtual Tour for August 2021
Kao Corporation, Apical & Asian Agri Join Hands to Empower Smallholders…
Today's Industry

Selasa, 05 Desember 2023 - 21:36 WIB
MOU Partnership Signed between Organisers of Bali International Airshow and Angkasa Pura I
A Memorandum of Understanding (MOU) has been signed between Indonesian state-owned enterprise PT Angkasa Pura I I Gusti Ngurah Rai International Airport - Bali and PT Inaro Tujuh Belas for the…

Selasa, 05 Desember 2023 - 21:32 WIB
Environmental resilience a critical concern for major Asian cities
Tokio Marine Group and Economist Impact announced the launch of The Resilient Cities Index 2023, a major new study into the most prominent risks faced by global cities. The index was devised…

Selasa, 05 Desember 2023 - 21:29 WIB
'K-Pop Dance AI Platform' STEPIN Surpasses 200,000 Downloads
Sidewalk Entertainment, an AI startup company based in Seoul, South Korea, announced on October 30 that their global K-Pop Dance AI Platform, STEPIN, has gone beyond 200,000 downloads. STEPIN…

Selasa, 05 Desember 2023 - 21:25 WIB
GIP ASEAN Chapter Launched in Jakarta
Jakarta, Indonesia - The Green Investment Principles for the Belt and Road (GIP) expands its reach into Southeast Asia with a new Chapter launched. The ASEAN Chapter is a key part of GIP's…

Selasa, 05 Desember 2023 - 21:21 WIB
Casio to Release MR-G with Iconic Form and Comfortable Dura Soft Band
Casio Computer Co., Ltd. announced today the release of a new addition to the MR-G line, the flagship of the G-SHOCK brand of shock-resistant watches. The new MRG-B5000R inherits the iconic…
News Comment