Palm oil stocks in Malaysia reach a nearly two-year high
In Ukraine, UkrAgroConsult reported that Malaysia’s palm oil stocks are estimated to have increased for a fifth consecutive month in July, reaching their highest level in nearly two years.
According to a Reuters survey of 11 traders, producers and analysts, inventories are estimated at 2.25 million tons, up 10.8% from June, the report stated.
The main driver behind the stock build-up was production growth outpacing exports. Crude palm oil (CPO) output in July is estimated at 1.83 million tons, up 8% from the previous month and reaching its highest level in a year. Adjustments to domestic consumption estimates also contributed to higher inventories, the report added.
Meanwhile, Malaysia’s exports of palm oil products are projected to have increased by 3.2% in July to 1.3 million tons, recovering from the previous month’s decline. However, stronger production growth meant that higher exports were insufficient to prevent inventories from rising further.
Category: Food & Agriculture
