The price of crude palm oil (CPO) has surged 12.03 percent in just two months since March 15, 2021, said Director General of Malaysian Palm Oil Board, Dr Ahmad Parveez Hj Ghulam Kadir.
On May 7 2021, CPO recorded its best performance in the history of Malaysian palm oil when it surged to RM4,758.50 per tonne after hitting an intraday high of RM4,800 per tonne and low of RM4,640 per tonne. The price recorded on May 7 surpassed its previous peak of RM4,652 per tonne on May 6.
On March 15, 2021 the CPO breached RM4,247.50 per tonne, its all-time high in the history of Malaysian palm oil industry.
The price recorded on May 7 surpassed nine previous peaks -- RM4,247.50 per tonne (March 15, 2021), RM4,270 per tonne (April 9, 2021), RM4,306.50 per tonne (April 21, 2021), RM4,376.50 (April 22, 2021), RM4,428.50 per tonne (April 23, 2021), RM4,502 per tonne (May 3, 2021), RM4,525.50 per tonne (May 4, 2021), RM4,548.50 per tonne (May 5, 2021), and RM4,652 per tonne (May 6, 2021).
“The bullish performance of the CPO price was attributed to the increase in the price of soybean oil, rising exports of palm oil and palm oil stock that remain manageable,” he said.
According to Dr Ahmad Parveez, exports of the Malaysian palm oil has increased 12.6 percent to 1,338,672 tonnes in April 2021 compared to 1,188,697 tonnes in March 2021 due to rising demand from the main importing countries.
Palm oil stock has decreased 24.4 percent to 1.55 million tonnes in April 2021 from 2.04 million tonnes in April 2020. “This is because the production of CPO for Jan-April 2021 was six percent lower compared to that of Jan-April 2020, which was 5.18 million tonnes compared with 5.51 million tonnes,” he added.