Calvin yes Agreed with you but somehow plantation shares IOI, Rsawit, HSP, BPlant , SWPlant , THP hardly moved vs the sharp price increase in CPO prices for the past 12-15 months.
Indonesia CPO export's may be impacted & lower in the coming days following irregularities on export permits. President Jokowi announced special investigation by AG on allegations on Wilmar, Muslim Mas and Permata Hijau { Indonesia biggest palm conglomerate} on their export permit licensing
When government never thought it out fully and suka suka come out with this requirement of export permit when all this while no such export permit is required as long as you submit all your paper in order. And sudenly you need documents to prove you have fufill the 30% internal sales before export permit is granted.
So if you are exporters and already contracts signed with your customer and containers and ships already at port waiting for loading what should you do?
Government already tax from exporters the export duty and export levy what else you want the exporter to do?
CPO is natural hedge against weak ringgit.December 22 soyoil is selling at Rm6850 equivalent.July 22 soyoil is Rm7530 equivalent, a Rm1300 premium over July FCPO Why Malaysia sell forward at such discount when there is a shortage and when there is demand.
HS plantation is one of the biggest oil palm grower in Sabah. Total oil palm planted areages app 35,435 hectares {87,560 acres} out of total land bank area measuring app 39,727 hectares. The estates and factories are not fragmented or located in different regions unlike most others planters. The close proximity and geographical of their Mils and estates gave HSP an added advantage on cost savings. In fact HSP is one of the biggest supplier of sustainable certified palm producer. Figs are extracted from the Annual Report
UP oil palm estates are located around Teluk Intan app 37,800 hectares with an integrated rail system linking their estates and Oil Mills. The fruits are harvested and deliver to the Mills efficiently. Their rail system is unique due to geographical nature of the planted areas. Higher extraction rates are achieved using this particular mode of transportation. Their rail model is special and very unique. A good learning experience to visit their estates
"Sky would be the limit for edible oil prices now. Buyers were banking on palm oil after sunoil supplies fell because of the Ukraine war," a Mumbai-based dealer at a global trading firm said.
"Now they (buyers) don't have any option as soyoil supplies are also limited."
Malaysian producers say the world's No. 2 palm oil exporter, which is facing a production shortfall due to a pandemic-induced labour shortage, is unlikely to be able to plug the gap.
Yes. Just hold on to your palm oil stocks. even our immediate neighbour down south is buying Malaysian oil palm counters .But our own GLIC funds are selling. Letting others easily grabbing a piece of our cake.
FCPO future is in excess of RM6.0K/ton is extremely good for oil palm industry and the huge sway of oil palm company share prices may perhaps due to people's buying and selling of them without trying to understand they may make some money but lose the whole cow definitely.
Guys, the real fake news is how the market over reacted on Indonesia change of policy. https://www.theedgemarkets.com/article/indonesia-export-ban-will-not-i... mentioned that ban is on RBD, which is 86% (620MT over 720MT per month). So the export ban is 86% its significant! CPO is only 14% of Indonesia export!
JAKARTA/KUALA LUMPUR (April 25): Indonesian government officials told palm oil companies on Monday that an export ban announced late last week would cover shipments of refined, bleached, deodorized (RBD) palm olein but not crude palm oil, two industry sources told Reuters. Though an exemption of crude palm oil from the export curbs will be positive for global markets, the majority of Indonesia's palm exports are in the form of processed oils and remain affected by the ban. There were still concerns that crude palm oil would also be added to the list of banned products, as it is raw material for RBD palm olein. According to data from Indonesia's palm oil association (GAPKI) exports of processed CPO in 2021 stood at 25.7 million tonnes, or 75% of total exports of palm products. CPO exports were 2.74 million tonnes in 2021, or 7.98% of the shipments. ------------------------------------------------------------------ The news is too sketchy. No official details from government yet. Better to stay calm for more details to emerge.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
TanDavid88
1,135 posts
Posted by TanDavid88 > 2022-04-14 21:43 |
Post removed.Why?