FGV CEO: CPO price likely to trade at RM4,100 in Q3, RM3,600 by year-end

Workers load palm fruits onto a lorry at a plantation in Sekinchan, Selangor October 31, 2020. — Picture by Miera Zulyana
Workers load palm fruits onto a lorry at a plantation in Sekinchan, Selangor October 31, 2020. — Picture by Miera Zulyana

Follow us on Instagram and subscribe to our Telegram channel for the latest updates.


KUALA LUMPUR, Aug 30 — FGV has projected the price of crude palm oil (CPO) to trade at RM4,100 per tonne in the third quarter and ends the year at RM3,600, said group chief executive officer Mohd Nazrul Izam Mansor.

In the second quarter, the average CPO price stood at RM3,333 per tonne.

The planter’s group divisional director of plantation Syed Mahdhar Syed Hussain said soyoil output was showing a deficit of 1.5 per cent.

Syed Mahdhar said although the production of CPO was expected to rise in the third quarter, the output would still be low.

“So, if you look at normal supply and demand in terms of oils and fats worldwide, we could see a lot of shortage. Supply of oils and fats will remain in deficit until the first quarter of next year, driven by soyoil,” he said during FGV’s second quarter performance media briefing today.

On capital expenditure, FGV said it allocates about RM900 million every year and of this, RM300 million will be set aside for replanting exercises. — Bernama

You May Also Like

Related Articles