Indonesia palm oil output, exports likely fell in June: Reuters survey

A worker shows palm oil fruits at palm oil plantation in Topoyo village in Mamuju, Indonesia, Sulawesi Island, March 25, 2017 in this photo taken by Antara Foto. Antara Foto/Akbar Tado/via REUTERS

JAKARTA (Reuters) - Indonesia’s crude palm oil output and exports likely declined in June as Ramadan celebrations in the Muslim majority country curtailed palm harvesting and processing, a Reuters survey showed.

Crude palm oil (CPO) production in Indonesia, the world’s top producer of the vegetable oil, likely fell to 3.2 million tonnes in June, compared to 3.38 million tonnes in May, according to the median estimate in a survey of two industry associations and a state palm research firm.

Exports of Indonesian CPO were estimated to have fallen last month to 2.20 million tonnes, from 2.37 million in May.

Domestic consumption was forecast to have risen to 937,500 tonnes in June, from 924,000 in the previous month, according to the survey.

Meanwhile, domestic stockpiles likely increased to 1.30 million tonnes from 1.09 million.

Indonesian Palm Oil Association (GAPKI) data showed the country exported 2.62 million tonnes of palm oil and palm kernel oil in May. The group’s official June data is not yet available.

The June survey included responses from GAPKI, the Indonesia Palm Oil Board, and the Indonesian Oil Palm Research Institute.

Editing by Christian Schmollinger