- Platts quoted Intertek as reporting that palm methyl esters (PME) exports from Indonesia and Malaysia fell 39% MoM to 35,500 tonnes in December 2014.

- Malaysia’s PME exports declined by 45.2% MoM to 15,500 tonnes in December 2014. Malaysia shipped 500 tonnes from Pasir Gudang in December 2014 compared with 13,000 tonnes in November. Exports from Port Klang were flattish at 15,000 tonnes in December. All of the PME products were shipped to the Europe Union (EU).

- Of the combined biodiesel exports from Malaysia and Indonesia in 2014, about 441,827 tonnes were sent to China, 296,616 tonnes to the EU and the balance to other countries.

- Platts also said that China has shown little interest in biodiesel recently because of the winter season and fall in fossil fuel prices. China was a major biodiesel market for Indonesia last year.

- Bloomberg reported that palm oil imports by India had probably declined for the first time in six months in December 2014. Stockpiles had climbed before the India government increased taxes on imports of crude and refined palm oil products on 24 December 2014.

- Shipments may decline in the coming months as refiners and traders draw down existing inventories. An industry player said that palm oil stockpiles at ports had probably reached two million tonnes at the start of 2015F.

- India’s palm oil imports had surged before December 2014 because of the anticipation of the government’s hike in import duties.

- Malaysian Meteorological Department said that the current monsoon rains are forecast to move south. Heavy rains will probably start on 7 or 8 January 2014 and last for two or three days in Sarawak and Johor. Sarawak and Johor accounted for 31.9% of Malaysia’s CPO production in 2013.

- Bloomberg cited AgResource as saying that weather conditions in South America have been mostly favourable for soybean. Soybean production in the region is forecast at 160mil tonnes in the current season. Global soybean prices should ease by US$1.00 to US$1.50/bushel on oversupply.

Source: AmeSecurities