Posted by calvintaneng > 2021-08-12 12:23 | Report Abuse

By now still giving neutral call on palm oil?

This is very wrong as they should rerate and upgrade palm oil

Posted by calvintaneng > 2021-08-12 12:29 | Report Abuse

Palm oil will now going into a Structural Change of demand due to these factors:

1. Palm oil being an essential product is used in 50% of Supermarket products and with World population increasing the demand will go up

2. Climate change now constrain all to go into biodisel which will spur palm oil use

3. On land in California Phillips 66 is building the World 's biggest biodisel refinery

4. On sea mersk shipping line is turning to biodisel as well

5. Floods and famines deplete food crops which will make palm oil prices elevated

All these and more will cause palm oil prices to ride a coming bull trend

Posted by MuttsInvestor > 2021-08-12 15:28 | Report Abuse

Most Critical ..... 1.5million tonnes of Stock !!! Peanuts ..... As Monthly comsumption is ~ 1.3 to 1.4 million tonnes per MONTH. Of course , they can USE their "Reserve". But for how LONG ?? People Can STOP Driving( Crude Oil ) BUT must still EAT ( CPO ) everyday !!! Wonder what will happens if Stockpile FALLS below 1.0 million tonnes.??? Historic LOW ? Considering that CHINA now have a HUGE PURCHASING / CONSUMPTION power with 1.4 billion people.

Posted by calvintaneng > 2021-08-12 15:33 | Report Abuse

Correct

once it falls below 1 million tonnes there will be rationing for buyers

it will be the seller's market and there is no cheaper vege oil other than palm oil on earth

Posted by stockraider > 2021-08-12 15:38 |

Post removed.Why?

Posted by calvintaneng > 2021-08-12 15:38 | Report Abuse

Unlike crude oil of which the world is awash with and can turn on the tap anytime ....palm oil needs good weather to produce plus available man power to harvest

And palm oil being basic food is a necessity