Higher biodiesel usage is an important factor behind improving CPO prices in 2016, as CPO is the main raw material for biodiesel.
KUALA LUMPUR: Malaysia’s total palm oil stocks in February 2017 slipped 5.32% to 1.46 million tonnes against 1.54 million tonnes in January this year.
In a statement today, the Malaysian Palm Oil Board (MPOB) said, crude palm oil (CPO) stocks fell by 2.21 per cent to 766,713 tonnes in February from 784,033 tonnes in the previous month.
It said stocks of processed palm oil fell by 8.55% to 692,343 tonnes in February against 757,049 tonnes in January.
On production, it said, February CPO output declined to 1.26 million tonnes from 1.28 million tonnes in January.
Palm kernel output improved to 316,069 tonnes in February compared with 310,186 tonnes in the previous month.
For exports, the board said, the offtake of biodiesel in February surged to 41,019 tonnes versus 9,102 tonnes in January, while palm oil decreased to 1.11 million tonnes compared with 1.29 million tonnes in January.
The MPOB said palm kernel oil export improved to 71,700 tonnes from 64,809 tonnes in January.
Palm kernel cake export eased to 186,568 tonnes in February from 187,017 tonnes in January, while oleochemicals fell to 210,446 tonnes from 211,823 tonnes. - Bernama
