Posted by KC Loh > 2013-01-11 17:55 | Report Abuse

expected indonesia to respond in such a way! all out from them!

hope they piss off enough FTA members! :)

http://biz.thestar.com.my/news/story.asp?file=/2013/1/11/business/20130111152141&sec=business

Posted by KC Loh > 2013-01-11 18:02 | Report Abuse

should consider operating as cartel both Indonesia & Malaysia. Possibly rope in Thailand and India! What is there to lose if the CPO price keeps plunging and everyone loses! Ada baca ka, Encik Dompok?

on investor front, FGV and plantation counters will seriously be in trouble if not abated!

Posted by innang > 2013-01-11 21:12 | Report Abuse

yes, the palm oil cartel producer should be fully support. Like OPEC and
rubber exporter country. Beside of that, western investor has continues
pressure on cpo price to go downward. It is for their own profit, both
on trading purposes and underlying commodity price uptick. For example,
investor in CME use complicated derivative trading strategy. Sometime
they short soft commodity and buy hard commodity or between same group
of commodity. It is done also on Liffe, ICE or other exchanges. For CPO
trading, they short it and long mini soyoil or other. They use option
or extreme futures to ruin the palm oil price. In short, they do not
want cpo price to go up and keep discount with other grain and oilseed
price as large as possible. So palm oil exporter should keep stock as
like crude oil, release when price overheating. Use cpo for domestic
consumption like biofuel etc. Why UK And European listed plantation stock operates in Kalimantan still have bull run price? Because their
shareholder know how potential on cpo use are.

Posted by gark > 2013-01-12 16:00 | Report Abuse

You cannot keep palm oil stocks long time like crude oil. Palm oil is an edible oil and will degrade/oxidize if kept too long becoming rancid and unsuitable for human consumption. Like food, palm oil has expiry date, crude oil does not.

If the stock builds up too much, most planters will opt to sell cheap rather than losing all their stocks due to quality degradation.

Also you cannot keep the fruits on the tree unharvested until you have good price, otherwise the fruits will be rotten as well. For oil, you just have to switch off the pump....

Posted by KC Loh > 2013-01-12 16:02 | Report Abuse

Cartel... meant to keep the price reasonably steady. not keeping the fruit! :)

car·tel
/kärˈtel/
Noun
An association of manufacturers or suppliers that maintains prices at a high level and restricts competition.
A coalition or cooperative arrangement between political parties to promote a mutual interest.

Posted by jumbo > 2013-01-12 16:22 | Report Abuse

Jumbo like to see KClow so scared....using other ppl tactic...and line to fend off attacks...

Posted by gark > 2013-01-12 17:17 | Report Abuse

If too much fruit on the trees, then how to keep the price steady? Ask them to throw away the fruit ah? :P

If too much supply, sure someone is gonna sell cheap. You can only maintain price if you restrict supply. Or you buy up all the excess supply.

Many many fruit coming out oh... at least 50-100K ha of plantation maturing each year...

Malaysia tried to corner the tin market in 80's end up horrible losses and lost position.

Posted by KC Loh > 2013-01-12 17:19 | Report Abuse

read the second part, maybe can glean something! need to work together to reduce somehow? definitely the current output is killing everyone! :p

A coalition or cooperative arrangement between political parties to promote a mutual interest.

Posted by jumbo > 2013-01-12 17:23 | Report Abuse

Jumbo see KClow got kicked out from Scomi forum by his own ppl.....no face given....good one to you too Rambo and Dance222...let see if he incite politics further and he says!

jumbo laughing hard!

Posted by jumbo > 2013-01-12 17:25 | Report Abuse

Jumbo offerr bum bum for retard baboon KClow to hide his face......