Veteran trader Dorab Mistry predicts palm oil prices to rise due to stagnating production, dwindling stockpiles, and production declines in Indonesia and Malaysia.
Veteran trader Dorab Mistry predicts stagnating production and dwindling stockpiles will push up palm oil prices in comparison to other edible oils in the near term, with top producers Indonesia and Malaysia facing production declines of at least a million tons in 2024. This trend is expected to last at least five years due to challenges such as aging trees, unpredictable weather, and limited farming improvements. Palm oil has been trading at a premium to soybean and sunflower oil in some markets, and benchmark palm oil futures have risen by 6% this year.
March 04, 2024
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