Record-high biodiesel prices in Europe boosted Malaysian exports by 150pc from October and 163pc from a year earlier to 50,000t in November, a record high for the month since the Malaysian Palm Oil Board (MPOB) began recording data in 2013.
Fatty acid methyl ester prices rose to an all-time high of $1,900/t fob Amsterdam-Rotterdam-Antwerp in October after some European catalyst producers declared force majeure, squeezing biodiesel production capacity.
Buyers increasingly sought cargoes from abroad, despite record-high feedstock palm cost making Malaysian product costly at a time when there is usually little appetite given its warmer weather properties.
Malaysian palm production slumped by 5pc from October to 1.49mn t in November heading into the off-peak monsoon season.
November output was 10pc higher year-on-year but Covid-19 movement control orders continue to stem the flow of migrant workers onto plantations and kept January-November production 6pc lower on the year, at 16.67mn t.
Exports swelled by 13pc from October to November, largely aided by renewed demand from its biggest buyer India that increased purchases to 423,504t from 311,611t.
| Malaysian palm oil | 000t | |||||||
| Nov '21 | Nov '20 | ± % y-o-y | Oct '21 | ± % m-o-m | Jan-Nov '21 | Jan-Nov '20 | ± % y-o-y | |
| Palm oil stocks | 1,817 | 1,562 | 16% | 1,835 | -1% | 1,599 (avg.) | 1,765 (avg.) | -9% |
| Palm oil production | 1,635 | 1,491 | 10% | 1,726 | -5% | 16,667 | 17,807 | -6% |
| Palm oil exports | 1,468 | 1,303 | 13% | 1,421 | 3% | 14,145 | 15,744 | -10% |
| Biodiesel exports | 50 | 20 | 150% | 19 | 163% | 342 | 336 | 2% |
| Source: MPOB |
