Malaysian biodiesel sales capitalise on EU price hike
Malaysian biodiesel exports surged by 128pc year-on-year and 138pc month-on-month to 57,000t in August after European prices hit record highs in July.
But sales over January-August of 221,000t are still 13pc lower than in the same period in 2020 as record high feedstock values this year have mostly priced it out of the international market, according to data from the Malaysian Palm Oil Board.
Global vegetable oil supply headwinds have kept prices elevated and Malaysian palm mills have faced particular difficulties in sourcing foreign labour under stringent Covid-19 lockdown orders, which were only exacerbated when the Delta variant started rampaging through the country in July.
January-August palm output declined by 9pc on the year to 11.59mn t. High prices and stronger competition from Indonesia after it slashed export levies from July sent exports tumbling to 1.16mn t in August from 1.58mn t a year earlier and 1.4mn t in July.
The slump in sales increased Malaysian August palm inventories by 25pc from July and by 10pc from a year earlier to 1.88mn t, the highest since June last year.
| Malaysian palm oil data ('000t) | ||||||||
| Aug '21 | Aug '20 | ± % y-o-y | Jul '21 | ± % m-o-m | Jan-Aug '21 | Jan-Aug '20 | ± % y-o-y | |
| Palm oil stocks | 1,875 | 1,703 | 10% | 1,496 | 25% | 1,522 (avg.) | 1,820 (avg.) | -16% |
| Palm oil production | 1,702 | 1,863 | -9% | 1,523 | 12% | 11,589 | 12,722 | -9% |
| Palm oil exports | 1,163 | 1,578 | -26% | 1,402 | -17% | 9,639 | 11,154 | -14% |
| Biodiesel exports | 57 | 25 | 128% | 24 | 138% | 221 | 253 | -13% |
| Source: MPOB |
Related news posts
EU wheat yield forecasts rise
EU wheat yield forecasts rise
New York, 22 April (Argus) — Warm weather improved forecasted wheat yields in the EU, according to the latest Monitoring Agricultural Resources (Mars) report from the European Commission (EC). In the April Mars report, the EC cited warm spring temperatures as well as adequate water supplies as the main reasons for its increased yields forecast for the 2024-25 marketing year. In Spain and Portugal forecast yields were increased for durum wheat. The EC anticipates soft wheat yields at 5.93t/ha, compared with 5.91t/ha in the prior estimate. Similarly, durum wheat estimated yields stand at 3.47t/ha compared with 3.44t/h in the prior estimate. By Eduardo Gonzalez Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Feed grains: CVB corn offers decline
Feed grains: CVB corn offers decline
London, 22 April (Argus) — Sellers of Romanian-Bulgarian corn loading at the ports of Constanta/Varna/Burgas (CVB) lowered their offers on Monday, pushing the price closer to the levels of Ukrainian-origin product loading at the ports of Pivdennyi/Odesa/Chornomorsk (POC). As for Ukraine's feed grain market, prices at the country's deep water ports closed flat on Monday. Trading interest was limited, but could pick back up later in the week. Rail operator Ukrzaliznytsia lifted its suspension of rail deliveries to Chornomorsk. Elsewhere, Argentina's spot corn price firmed on an fob upriver/Necochea/Bahia Blanca basis on Monday. Sellers stayed away from the market, because of prevailing worries about corn output, at risk from rains delaying harvesting, and from yield losses caused by corn stunt . Further out, Argentina's 2024-25 corn crop planted areas could shrink on the year, as producers mull planting less because of issues with the ongoing harvest, market participants said. As for barley, prices for French new-crop barley could see support from farmers' reluctance to sell because of worries around the 2024-25 production. Barley crop conditions have fallen considerably from the previous two seasons, with 67pc of areas rated "good-to-excellent" as of 14 April, down by 24 percentage points (pp) on the year and by 20pp from two years ago. Meanwhile, France's corn planting pace has lagged behind previous years, but if weather improves, farmers could speed it up with limited effect on production, market participants said. Elsewhere, China's Ministry of Agriculture and Rural Affairs (Mara) forecast record corn production in 2024-25 at 295.5mn t, up by 6.7mn t on the year. Such an increase would likely cut China's feed grain import demand. Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Baltimore opens third temporary shipping channel
Baltimore opens third temporary shipping channel
New York, 22 April (Argus) — A third temporary shipping channel has opened at the Port of Baltimore to allow more vessel traffic around the collapsed Francis Scott Key Bridge. Located on the northeast side of the main channel, the new passage has a controlling depth of 20-ft, a 300-ft horizontal clearance, and a vertical clearance of 135-ft. When combined with two other temporary channels opened earlier this month the port should be able to handle "... approximately 15 percent of pre-collapse commercial activity," said David O'Connell, the federal on-scene coordinator. The main shipping channel of the Port of Baltimore — a key conduit for US vehicle imports and coal exports — is expected to be reopened by the end of May, the Maryland Port Administration said earlier this month. The bridge collapsed into the water late last month when the 116,851dwt container ship Dali lost power and crashed into one of its support columns. Salvage teams have been working ever since to remove debris from the water and containers from the ship in order to clear the main channel. By Stephen Cunningham Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
US amsul stripping margin rises again in April
US amsul stripping margin rises again in April
Houston, 19 April (Argus) — The stripping margin for ammonium sulfate (amsul), driven by higher amsul prices, continued to rise in April even as variable costs grew. The stripping margin increased by nearly $24/st to $270/st for April, up by 10pc from March and up by 13pc from April 2023. Inland amsul trade exceeded $400/short tons (st) this month on continued supply tightness following production outages in the first quarter. Minimal length at New Orleans (Nola) spurred sellers to offer imported tons as high as $405/st fob for first half May delivery. Participants in the amsul market anticipate values to keep rising into May as supply tightness persists. Higher amsul prices have been partially caused by higher costs for inputs. The Tampa, Florida, ammonia contract rose by 7pc to $475/st in April from the month prior and the sulfur Tampa contract climbed by 17pc to $81 per long ton (lt) from the previous quarter. The cost of ammonia and sulfur were 8pc and 27pc lower than a year earlier, respectively. The total variable cost for amsul rose by $10/st in April to $143/st after holding steady in March. Rising ammonia prices have supported amsul variable costs but gains in the price of ammonia have not been as substantive as the market expected, sources said. Applications of ammonia in the US are slowing, which may weaken the price of the Tampa contract, but production outages could offset seasonal declines. Ma'aden's ammonia II plant is due to undergo a month of maintenance starting mid-April. Sulfur prices are expected to remain firm in the near term but lose momentum entering the third quarter on higher refinery utilization in the US and the return of Chinese exports of MAP and DAP, which could oversaturate the phosphate fertilizer market. Sulfuric acid is used to produce DAP and MAP. By Meghan Yoyotte Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Business intelligence reports
Get concise, trustworthy and unbiased analysis of the latest trends and developments in oil and energy markets. These reports are specially created for decision makers who don’t have time to track markets day-by-day, minute-by-minute.
Learn more