Dekel Agri-Vision experienced a prolonged low season for palm oil, resulting in a year-on-year drop of 17.9% in crude palm oil (CPO) production for October. The company’s output during this period was notably below levels recorded the previous year, as confirmed by the London-listed firm in its latest update.
Despite the production challenges, CPO sales prices remained stable at €775 per tonne in October, maintaining a historically high level. Moreover, international CPO prices showed significant growth during the month, surpassing €1,050 per tonne. This positive trend is expected to impact November results, with the company anticipating a substantial rise in CPO sales prices driven by pre-sales activity.
Executive Director Lincoln Moore noted the encouraging influence of higher international CPO prices on local markets. He highlighted the potential benefits for the upcoming high production season, expressing optimism that the improving pricing environment would help offset the effects of the extended low season.
While Dekel Agri-Vision faced lower production levels in October, the upward trend in international and local palm oil prices suggests a more favourable outlook for the months ahead.
