After two successive weekly declines, Malaysia’s benchmark palm oil contract (December delivery) nudged higher, gaining on resilient demand and renewed optimism in related energy markets. At the same time, buyers in key import markets, most notably India, are showing signs of stepping back into the market ahead of seasonal demand ahead of October’s festivities.
Indonesia’s palm oil exports to Europe look set to climb next year, aided by the postponement of the EU’s anti-deforestation regulation and favourable bilateral trade arrangements. The broader energy complex is offering tailwinds: crude oil has reversed a two-week slide, tightening the appeal of palm oil as a biodiesel feedstock.
On the supply side, weather is pushing Malaysia’s production toward a seasonal peak in September and October. That could flood the market with additional volume at a time when demand is only gradually reviving.
Dekel Agri-Vision PLC (LON:DKL) aspires to become a leading agro-industrial company in West Africa, one that creates value for shareholders whilst at all times placing the interests of the local communities and environment in which it operates in at the heart of its operations.
