JAKARTA – The production of Indonesian crude palm oil (CPO) has been recovering as reflected by the consistent rise during the last three consecutive months, from 3.85 million tons in July to 4.38 million tons in August and to 4.73 million tons in September 2020.
“But year on year (YoY) as of September 2020, the total CPO production was still lower by 4.7% from the production in 2019,” the Indonesian Palm Oil Association’s (GAPKI) Executive Director Mukti Sardjono said in Jakarta last week.
Based on data from GAPKI, the export value of palm oil products in September 2020 reached US$1,871 million, an increase of 10 percent if compared to its export value in August 2020 at US$1,697 million.
Year on year (YoY) until September, the total export value of palm oil products in 2020 reached US$15,498 million, which was higher than that of 2019 at US$14,458 million. “In terms of volume, the export in September 2020 reached 2,764 thousand tons, an increase of 81 thousand tons or 3.0 percent from that of August at 2,683 thousand tons,” he said in a press release.
Mukti pointed that the export volume to China in September 2020 reached 645 thousand tons, as compared to 618 thousand tons in August 2020. The export volume to India in September 2020 reached 351 thousand tons, which was the same with that of August 2020, while the exports to European Union (EU) and Pakistan in September 2020 were lower than those in August.
The export increase was seen to Brazil, Malaysia, Russia and Africa. The export to Brazil rose by 44 thousand tons, to Malaysia up by 39 thousand tons, and to Russia by 37 thousand tons. “The export increase to Africa amounted to 39 thousand tons. Actually, what’s interesting is the fact that exports to most of the African countries decreased. But there had been a sharp increase to Kenya (+61 thousand tons) and to South Africa at (+33 thousand tons),” he said.
According to him, the local consumption of palm oil for foods has been consistently increasing during the last four months, with the consumption in September 2020 reaching 667 thousand tons. Year on year (YoY) until September 2020, the local consumption for foods was still lower than that of last year (-15.8%). The consumption for oleochemical products tends to stay stagnant after previously seeing an increase. The consumption for oleochemical in September 2020 reached 151 thousand tons, which was at the same level with that of August 2020 and was only 3 thousand tons higher than that of July 2020.
As of September 2020, year on year (YoY) consumption for oleochemical products was higher (+49%) from that of 2019. The consumption of palm oil for biodiesel in September 2020 reached 630 thousand tons, an increase of 54 thousand tons from that of August 2020. Year on year (YoY) consumption for biodiesel increased by 27.2 percent from that of 2019. “The increase of local consumption and export is raising the hope for producers to anticipate the production increase,” Mukti Sardjono noted. (*)
Source: Investor.id | Featured image via pikiran-rakyat.com
