Indonesia bans palm oil exports

Indonesian president Joko Widodo on Friday, announced the suspension of all cooking oil and raw material exports from April 28 until further orders. The ...

Indonesia produces 48 million tonne of palm oil annually. Bajoria said the ban may not last more than a month since Indonesia already has 5 million tonne of palm oil and produces another 4 million tonne every month. Now there is no alternative, since palm oil is the cheapest oil,” he said. “Already sunflower oil supplies were hit due to the Russia-Ukraine war. India imports around 0.6 million tonne of palm oil, 50% of which comes from Indonesia and the remaining from Malaysia, said Sandeep Bajoria, chief executive of Sunvin Group, a Mumbai-based vegetable oil brokerage and consultancy firm. The retail price of cooking oil in Indonesia averages at 26,436 rupiahs ($1.84) per litre, up more than 40% so far this year.

SINGAPORE — Chicago soyoil futures gained more ground on Monday to trade close to their highest since 2008, as Indonesia's decision to ban exports of rival…

Indonesia counts for more than half of global palm oil supply. The halting of shipments of the cooking oil and its raw material, widely used in products ranging from cakes to cosmetics, could raise costs for packaged food producers globally and force governments to choose between using vegetable oils in food or for biofuel. Chicago soyoil climbs as Indonesia bans palm oil exports Back to video

World's top palm oil producer Indonesia will halt global shipments of the cooking oil and its raw material to stymie rising cooking oil prices at home.

A 2019 study identified palm oil plantations as responsible for 23% (the single largest proportion) of the deforestation in Indonesia between 2001 and 2016. But rising demand and weak output from Indonesia – they stopped issuing new permits for palm oil plantations in 2018 following intense criticisms of deforestation and endangering species like orangutans – and the world’s second largest palm oil exporter Malaysia, which is facing a pandemic-induced labour shortage, has caused domestic prices to rise to unprecedented levels. Palm oil is the most widely used vegetable oil, of which Indonesia is the world’s top producer – accounting for more than half of the global palm oil supply.

Indonesia's ban on palm oil exports will leave makers with no other alternative but to pass on higher prices. India, the world's largest palm oil importer, ...

The ban is likely to be short-lived as Indonesia may find it difficult to handle the huge quantities of palm oil it produces," he said. India is the world’s largest palm oil importer and depends on Indonesia and Malaysia to meet domestic demand. As per Bloomberg data, crude palm oil rose 57.9% in the last one year, hurting profit margins of biscuit to soap makers. The world's supply of cooking oil was already squeezed amid Russia's war in Ukraine—the two top producers and exporters of sunflower oil. It is used in nearly half the items on a supermarket shelf including pizza dough, bread, biscuit, chocolates, Nutella, face cream, lipstick, soaps, detergents, and more. It is used in nearly half the items on a supermarket shelf including pizza dough, bread, biscuit, chocolates, Nutella, face cream, lipstick, soaps, detergents, and more.

All vegetable oil prices set to jump on supply disruption · Buyers can't replace Indonesian palm oil shortfall · Soyoil, canola oil supply hit by drought, ...

read more Prices also rose in Pakistan and Bangladesh. read more Palm oil - used in everything from cakes and frying fats to cosmetics and cleaning products - accounts for nearly 60% of global vegetable oil shipments, and top producer Indonesia accounts for around a third of all vegetable oil exports. read more The move by the world's biggest palm oil producer to ban exports from Thursday will lift prices of all major edible oils including palm oil, soyoil, sunflower oil and rapeseed oil, industry watchers predict.

Britannia Industries, Hindustan Unilever (HUL) Nestle India and ITC would be among the firms worst affected by Indonesia's ban on palm oil exports.

"This changing dynamic of palm oil availability could result in a surge in other edible oil prices, implying overall downside risks to margins in an already high inflationary environment," it said. Indonesia's decision to ban palm oil exports will increase margin pressure for India's top consumer goods makers, according to analysts.India, the world's largest palm oil importer, depends heavily on Indonesia and Malaysia for its supply. Indonesia, the world's top producer of the commodity, banned palm oil exports to make it affordable and increase availability domestically. We expect weak to sideways movement for select consumer stocks in the near term." India, the world's largest palm oil importer, depends heavily on Indonesia and Malaysia for its supply. We combine Bloomberg’s global leadership in business and financial news and data, with Quintillion Media’s deep expertise in the Indian market and digital news delivery, to provide high quality business news, insights and trends for India’s sophisticated audiences.

Palm oil is used in products like cooking oils, processed foods, cosmetics and biofuels. Frontline stocks like Hindustan Unilever (HUL), Britannia Industries, ...

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JAKARTA : Shares of some of Indonesia's biggest palm oil companies slumped on Monday, while the rupiah headed currency falls in Asia, after the government ...

Advertisement Salim Ivomas Pratama and Sinar Mas Agro Resources and Technology also dropped, while shares of Singapore-listed Wilmar International saw a more limited fall. Advertisement

Following Indonesia's ban on palm oil export, the prices of edible oil and packaged goods in India are likely to see a jump amid its lower availability in ...

Mayank Shah, senior category head at Parle Products, was quoted in the report as saying that second-biggest palm oil exporter Malaysia is facing a production shortfall due to a pandemic-induced labour shortage, and is unlikely to be able to plug the gap. The country is the biggest palm oil producer in the world. It said the Ukraine-Russia war has already affected sunflower oil supplies in India, adding pressure to household budgets. Following Indonesia’s ban on palm oil export, the prices of edible oil and packaged goods in India are likely to see a jump amid its lower availability in the country. So, any rise in palm oil prices will push up the input costs across these industries. This export ban and increase in Malaysian taxes will further exacerbate the problem.

The ban threatens to worsen global food inflation and raises the risk of a full-blown hunger crisis. . Read more at straitstimes.com.

Prices also rose in Pakistan and Bangladesh. The ban threatens to further stoke global food inflation, which has been accelerating at a rampant pace, and raises the risk of a full-blown hunger crisis. Wilmar International, one of the world’s biggest traders in palm oil, lost a more limited 0.9 per cent. That will place extra strain on cost-sensitive consumers in Asia and Africa hit by higher fuel and food prices. Indonesia said on Friday that the shipment halt will start from April 28 and last until the government deems a domestic shortage resolved. Palm oil accounts for nearly 60 per cent of global vegetable oil shipments, and Indonesia accounts for around a third of all vegetable oil exports.

Reuters writer Nigel Hunt reported yesterday that, "Soybean oil prices soared to a record high on Friday as Indonesia's decision to effectively ban exports ...

Also yesterday, Bloomberg writers Eko Listiyorini and Anuradha Raghu reported that, “The shipment halt will start from April 28 and last until the government deems the shortage resolved, said President Joko Widodo in a Friday briefing. “The consultancy said in a statement that Ukraine could harvest 41.4 million tonnes of grain in 2022, including almost 17 million tonnes of wheat and 18.5 million tonnes of corn. The export ban is not for long but one has to be concerned it will be extended. “The consultancy said Ukraine may produce 5.7 million tonnes of sunflower oil in the 2022/23 September-August season and export 5.4 million tonnes;” the Reuters article noted, adding that: “APK-Inform also cut its forecast for the harvest of rapeseed, which is now seen at 2.47 million tonnes against 2.52 million tonnes a month earlier.” In related news, Reuters writer Pavel Polityuk reported today that, “APK-Inform agriculture consultancy on Saturday revised down its forecast for Ukraine’s 2022 sunflower seed harvest to 9.2 million tonnes from the previous outlook of 9.6 million tonnes and compared with 16.6 million tonnes harvested in 2021.” Prices have now risen by almost 50% so far this year.”

Rising edible oil prices may hit new highs in coming days as Indonesia, the world's largest producer of palm oil, has decided to ban exports from April 28.

Palm oil is used in products from cooking oils to processed foods, cosmetics and biofuels. A data showed that of the 19 kg of edible oil consumed by an individual in India every year, more than 11 kg comes from imports. The edible oil is being sold between Rs 180-260 a kg in the retail markets across India.

Cooking oil prices in India: Indonesia's supply of edible oil to the world is 'impossible to replace', Carlos Mera, head of the agricultural commodity ...

Indonesia produces over half world's supply of palm oil - used in everything from processed foods and cosmetics to biofuels - and accounts for over a third of all vegetable oil exports. "It's definitely a big blow. Atul Chaturvedi, president of Solvent Extractors’ Association of India, told Reuters, "We were not expecting a ban like this."

KUCHING (April 24): Indonesia, the world's top palm oil producer, had on Friday announced plans to ban exports of the most widely used vegetable oil, ...

Since 2018, the government stopped issuing new permits for palm oil plantations, which are often blamed for deforestation and destroying habitats of endangered animals such as orangutans. “Just like we were facing during the pandemic, we know this is not good in the medium and long term, but in the short term, you cannot stand in front of your people when you have the commodity which is needed by your people and you let (supplies) just go out” of the country. “We know that this is not going to be the best result,” for global supplies, she was quoted by Reuters as saying in an interview on the sidelines of the International Monetary Fund and World Bank spring meetings.

Indonesia counts for more than half of global palm oil supply.In a video broadcast, Indonesia's President Joko Widodo said he wanted to ensure the ...

In some provinces across the country, the prices have nearly doubled in the past month alone, according to a price monitoring page. Buyers were banking on palm oil after sunoil supplies fell because of Household product and food companies including Procter & Gamble Co, Nestle SA and Unilever PLC are large purchasers of palm oil. Alternative vegetable oil prices spiked in response to the measure which will take effect on April 28. globally, said, Atul Chaturvedi, president of trade body the Solvent Extractors Association of India (SEA).”This move is rather unfortunate and totally unexpected,” he said. Soybean oil, the second most used vegetable oil, rose 4.5% to a record high of 83.21 cents per pound on the Chicago Board of Trade.Global prices of crude palm oil, which Indonesia uses for cooking oil, have surged to historic highs this year amid rising demand and weak output from top producers Indonesia and Malaysia, plus a move by Indonesia to restrict palm oil exports in January that was lifted in March.

An expert said that the real impact would be felt only on Monday when the markets open, but initial reports indicate the sellers might increase the retail ...

Sunflower, Mustard and groundnut oils are available at Rs 185-190 per kg in the retail market. The Indonesia export ban would come as a double whammy for consumers as edible oil prices have been increasing ever since geo-political tensions began in eastern Europe. Indonesia is the largest producer and exporter of palm oil.

The country been running low on palm-based cooking oil since November as producers turn to exports to cash in on an increase in prices around the world.

until a deadline to be determined later," President Jokowi said in a statement. Palm oil is the most widely used vegetable oil in Indonesia whereas crude palm oil is exported worldwide for a wide range of uses, from cosmetics to chocolate spread. "The government will prohibit the export of raw materials for cooking oil and cooking oil itself...

The loss of shipments from Ukraine, the worlds top supplier of sunflower oil, and drought in the worlds top soybean oil exporter Argentina had already ...

National Oilseed Processors Association Chief Executive Officer Tom Hammer said it will be hard to boost that capacity further until new plants come online. Prices have now risen by almost 50 percent so far this year. The loss of shipments from Ukraine, the world's top supplier of sunflower oil, and drought in the world's top soybean oil exporter Argentina had already sparked a sharp rise in global vegetable oil prices.