Essential Palm Oil Statistics

2017
 Palm Oil Analytics
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 Major CPO Producers and Planted Acreage

Company Production (metric tonnes) Oil palm planted area (hectares)

1. Felda Global Ventures 3,091,262 730,557

2. Sime Darby Plantation 2,442,418 603,254
3. Golden Agri Resources Ltd 2,380,047 971,212
4. PT Astra Agro Lestari Tbk 1,539,000 138,942
5. Wilmar Group 1,517,472 240,956
6. Kuala Lumpur Kepong Berhad 1,060,442 211,574
7. IndoAgri Resources 1,002,000 246,359
8. PT Smart Agri Business and Food 740,197 278,610
9. IOI Group 697,334 179,271
10. First Resources 687,248 207,575
11. Musim Mas Group 619,000 12,128
12. PT Perkebunan Nusantara IV (PERSERO) 476,646 145,000
13. London Sumatra 475,708 114,107
14. Cargill 399,866 50,972
15. Genting Plantations 359,543 134,828
16. Eagle High Plantations 350,578 150,000
17. Triputra Agro Persada 322,829 78,562
18. Anglo Eastern Plantations 321,400 50,800
19. PT Bakrie Group 197,000 49,507
20. Ta Ann Holdings 171,482 41,141
21. Hap Seng Plantation 163,849 35,532
22. Jaya Tiasa 82,000 69,054
3
 Malaysia Crude Palm Oil Futures vs. Indonesia FOB prices 2007-2017

unit: US$ per-metric tonne Malaysia CPO futures on BMD Indonesia FOB prices
4
 Malaysia Crude Palm Oil Futures vs. Indonesia PTPN CPO Daily Tender Prices

unit: US$ per-metric tonne Malaysia CPO futures on BMD Indonesia PTPN CPO tender prices
5
 Refined Bleached Deoderised Palm Olein RBDPOL FOB Malaysia

unit: US$ per-metric tonne

6
 Top 10 Palm Oil Producers by Country 2016

country production Colombia 2%

Thailand 4%
(‘000 tones)
Indonesia 34,520
Malaysia 17,320
Thailand 2,300
Colombia 1,280 Indonesia 58%
Nigeria 970
Ecuador 560
Honduras 545
Papua New Guinea 522
Malaysia 29%
Ghana 520
Guatemala 515

2016

7
 Top 10 Importers of Palm Oil 2016

Russia 2% Vietnam 2%
Myanmar 3%
United States 4% India 32%
country imports
Bangladesh 5%
(‘000 tonnes)
India 10,250
Egypt 5%
European Union 6,600
China 5,150
Pakistan 3,300 Pakistan 10%
Egypt 1,600
Bangladesh 1,500
United States 1,225
Myanmar 900
Russia 800
China16%
Vietnam 780
European Union 21%
2016

8
 Crude Palm Kernel Oil Production—Malaysia and Indonesia

Palm Kernel Oil

Palm Kernel Production 2004-2014
Production 2016

unit: Metric tonnes

unit: Metric tonnes
Indonesia

Malaysia

9
 Crude Palm Kernel Oil and Crude Coconut Oil CIF Rotterdam

unit: US$ per-metric tonne Crude palm kernel oil Coconut oil Spread
10
 Coconut and Crude Coconut Oil Production 2016

Crude Coconut Oil Production 2016 Coconut Production 2016

metric tonnes metric tonnes

Philippines 1,481,000 Indonesia 19,500,000

Indonesia 978,000 Philippines 18,300,000

India 447,000 India 11,930,000

Vietnam 164,000 Brazil 2,820,468

Mexico 130,000 Sri Lanka 2,200,000

11
 Palm Biodiesel PME Production by Country

production exports

indonesia malaysia indonesia malaysia

630 186 2008 610 198 2008

330 247 2009 204 247 2009

740 127 2010 563 97 2010

1,800 188 2011 1,440 54 2011

2,200 271 2012 1,515 32 2012

2,800 513 2013 1,800 190 2013

3,000 451 2014 1,350 95 2014

1,180 550 2015 343 195 2015

2,450 833 2016 200 210 2016

2,600 960 2017 100 250 2017

unit: million litres unit: million litres

CPO feedstock production capacity

indonesia malaysia indonesia malaysia

580 195 2008 3,138 2880 2008

304 222 2009 3,528 2880 2009

681 95 2010 3,936 2880 2010

1656 96 2011 4,281 2880 2011

2024 103 2012 4,881 2880 2012

2576 329 2013 5,670 2880 2013

2760 263 2014 5,670 2880 2014

1086 361 2015 6,750 2880 2015

2254 341 2016 7,286 2880 2016

2392 379 2017 7,628 2880 2017

unit: 1000 metric tonnes unit: million litres
12
 Soybean key market data—2015/16

Producers million- Consumers million-

tonnes tonnes

United States 106.9 China 15.3

Brazil 96.5 United States 9.1

Argentina 56.8 Brazi 6.3

China 11.8 India 5.3

Paraguay 9.2 Argentina 2.8

India 7.1 European Union 2.2

Canada 6.4 Mexico 1.1

Ukraine 3.9 Egypt 0.9

Russia 2.7 Iran 0.7

Bolivia 2.4 Bangladesh 0.7

Producers Consumers—Soybean oil

Exporters million- Importers million-

tonnes tonnes

Brazil 54.4 China 83.2

Unites States 52.7 European Union 15.0

Argentina 9.9 Mexico 4.1

Paraguay 5.4 Japan 3.2

Canada 4.3 Thailand 2.8

Taiwan 2.5

Russia 2.3

Indonesia 2.3

Iran 1.9

Egypt 1.3

Exporters Importers 13
 RSPO Certified Crude Palm Oil Production 2016

producer production capacity (million tonnes) production area (hectares) %

Indonesia 6,688,788 8,000,000 83.6
Malaysia 3,599,780 4,888,756 73.6

Indonesia

Malaysia

non-certified

14
Indonesia mills area CPO CPKO
(ha) (MT) (MT)
Alpha Capital Ltd 1 3,794 16,632 3,326
RSPO Certified
Crude Palm Oil Producers
Bumitama Agri Ltd 3 31,643 110,866 24,183

Cargill Inc 6 72,911 359,430 83,855

Golden Agri-Resources Ltd 9 93,722 441,312 105,451

Goodhope Asia Holdings Ltd 4 36,427 197,041 43,006

Kuala Lumpur Kepong Berhad 4 40,722 219,436 53,161

MP Evans Group Plc 2 19,852 107,278 21,186

Agrowiratama 4 38,194 261,183 66,475

Austindo Nusantara Jaya Agri 3 30,810 152,100 32,287

Berkat Sawit Sejati 2 22,925 122,629 29,950

Malaysia mills area CPO CPKO
Dharma Satya Nusantara 3 28,514 217,209 35,753 (ha) (MT) (MT)
Inti Indosawit Subur 17 120,910 583,604 138,868 Boustead Plantations Bhd 2 10,468 46,830 7,719

Ivo Mas Tunggal 8 80,719 452,211 116,369 Carotino/JC Chang Group 3 25,551 122,420 22,930

Musim Mas 2 11,836 77,199 21,435 Genting Plantations Bhd 2 12,000 61,472 14,439

Perkebunan Nusantara III 7 21,198 137,384 36,781 Hap Seng Plantations Holdings Bhd 4 25,538 125,055 28,277

Perkebunan Nusantara IV (Persero) 3 52,015 256,731 49,091 IOI Corporation Bhd 11 117,764 665,314 166,437

PP London Sumatra Indonesia Tbk 4 15,697 54,359 11,150 Keck Seng (Malaysia) Bhd 1 3,008 13,100 3,800

Rimba Mujur Mahkota 1 38,811 213,861 54,019 Keresa Plantations Sdn Bhd 1 5,704 28,690 6,276

Salim Ivomas Pratama Tbk 1 3,442 11,463 3,138 Kretam Holdings Bhd 1 9,660 40,311 8,829

Sampoerna Agro 2 10,987 46,480 11,256 Kuala Lumpur Kepong Bhd 12 86,180 510,443 109,849

Sawit Sumbermas Sarana 2 18,698 118,855 22,721 Kulim (Malaysia) Bhd 4 36,551 177,866 47,319

Siringo Ringo 1 177 1,192 350 PPB Oil Palms Bhd 8 48,374 243,058 51,005

Smart Tbk 10 101,548 592,658 143,006 Sime Darby Plantation Sdn Bhd 33 261,285 1,288,786 305,733

Swakarsa Sinarsentosa 1 6,843 46,575 7,595 TDM Plantation Sdn Bhd 2 29,290 110,432 29,316

Barumun Agro Sentosa 1 13,304 64,897 14,402 Tian Siang Holdings Sdn Bhd 1 4,609 18,900 4,500

Gawi Bahandep Sawit Mekar 1 15,454 47,372 8,335 United Plantations Bhd 4 33,400 166,003 40,254

Gawa Makmur Kalimantan 2 15,631 90,909 19,408

Unggul Lestari 1 12,846 95,329 21,666

Sime Darby Plantation Sdn Bhd 23 188,507 801,027 220,131

SIPEF Group 5 37,264 189,329 42,347

Socfin Group (PT Socfindo and Socfinco SA) 9 33,934 195,696 34,832

TSH Resources Bhd 1 6,860 45,019 6,139

Wilmar International Ltd 14 90,621 438,725 92,038

15
 Major Palm Oil Import Ports

Europe
China

USA
India

16
Major Palm Oil Export Ports

Malaysia

Indonesia

17
 Refined Bleached Deoderised Palm Stearin prices—FOB Malaysia

unit: US$ per-metric tonne

18
 Palm Fatty Acid Distillate—Local Malaysia Delivered Prices

unit: US$ per-metric tonne

19
 Crude Palm Kernel Oil CPKO FOB Indonesia

unit: US$ per-metric tonne

20
 US Soybean Export to China 2016

to all countries 2016

metric
tonnes

China 31,836,310

EU 5,521,034

Mexico 3,512,711
Mexico 7% China 64%
Japan 2,305,884

Indonesia 2,263,267

Taiwan 1,400,146 India 11%

Vietnam 858,418

Bangladesh 824,190

Thailand 574,334

South Korea 571,737

unit: Metric tonnes to China 2006-2016

21
 India Palm Oil Imports 2016

India—Import of Palm Oil vs. Soft oil

Rape

Sunflower
Soybean

RBD Palm olein , CPO,

Crude Olein & CPKO

unit: Metric tonnes

India—Import of Refined & Crude Edible Oils (Ratio)

Refined oils Crude oils

22
 Malaysia vs. Indonesia Exports 2016

Malaysia and Indonesia export to key markets by volume Malaysia and Indonesia export market share

unit: Metric tonnes

Malaysia and Indonesia monthly exports

Malaysia Indonesia

23
 China Palm Oil Stock

China CPO Year-End Stockpiles (state stockpiling began in 2008)

‘000 change
metric tons

2008 499 n/a

2009 328 -34.27%

2010 241 -26.52%

2011 240 -0.41%

2012 439 82.92%

2013 310 -29.38%

2014 255 -17.74%

2015 175 -31.37%

2016 175 -
unit: ‘000 metric tonnes

2016 China Palm Oil Stock

unit: Metric tonnes

24
 Palm and Soy Complex Data Schedule—2017

SPPOMA Southern Peninsular Palm Oil Southern peninsular Malaysia palm oil production and yield MPOB Malaysia Palm Oil Board Government agency publishes monthly palm performance covering production, FAO Food Price United Nations Food & Agriculture Organization Measure monthly change in international prices of a basket
Millers Association change stocks, exports and many other detail data broken down by state levels Index price index of food commodities, based on 5 commodity group of indices

MPOA Malaysia Palm Oil Association Overall Malaysia production change EIA Biodiesel Energy Information Admin- U.S biodiesel data including production, capacity and stocks GAPKI Gabungan Pengusaha Kelapa Sawit Indonesia Indonesia palm oil performance. Published on 2 months lag
data istration or Indonesia Palm Oil Association

WASDE World Agriculture Supply and Global production, trade and stocks of major oilseeds NOPA National Oilseed Processor U.S soybean crush volume PSDM Poll Survey Data on Malaysia, published by Survey data covers Malaysia production, export, import and
Demand Estimate Association Bloomberg, Reuters and CIMB Bank stocks. Published prior to MPOB monthly data

USDA Quarterly U.S stocks of grains and U.S. stocks by States and aggregate data SEA Solvent Extractors Association Indian vegetable oil import covering palm and soft oils
stock oilseeds of India

25
 Soybean Agricultural Calendar

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

United States United States

Brazil Brazil
Argentina Argentina
China China
India India
European Union European Union

Plant Harvest

26
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ASIA CLOSING MARKET REPORT 16TH DECEMBER 2016 ASIA MID-DAY MARKET REPORT 15TH DECEMBER 2016

NEWS FCPO-BMD NEWS FCPO-BMD

 Market Commentary MAR FEB
 Market Commentary
 RBDP Olein trades
RM 3158  PRICE WATCH RM 3176
(US$ 706)  Indonesia palm market per- (US$ 712)
formance in charts
(RM -3)  Olam in cross-fire RM +51
(US$ -0.67) (US$ +11.43)

Singapore London Total volume: 59,976 Singapore London Total volume: 24,851

 RBDP Olein  CPO  RBDP Kernel Oil  Stearin  RBDP Olein  RBDP Oil  CPKO  CPO
726 765 1780 755 752.5 750 1595 765

CIF Rotterdam FOB Malaysia—PK/PG FOB Indonesia –BL/DM FOB—Malaysia—PK/PG FOB Malaysia—PK/PG FOB Indonesia –BL/DM CIF India—Kandla
FOB Malaysia –PK/PG
Average AMJ Jan-Feb Jan Jan Jan Jan-Feb Dec
The above table shows selection of latest prices. All prices in US$ perͲmetric ton The above table shows selection of latest prices. All prices in US$ perͲmetric ton

PALM RISES ON WEAK RINGGIT AND BEANS ON STRONG DE- PHYSICAL & FUTURES PALM HAVE MORE UPSIDE FOR PRICE
MAND WHILE WEATHER CONCERN DISSIPATE RISE

MARKET COMMENTARY MARKET COMMENTARY

CPO Futures opened 10 points higher and quickly sky-rocketed up 50 the U.S interest rate rise. Culmination of weak production in Malaysia,
CPO Mar delivery benchmark month traded up to RM 3202 for the first buyers, i.e. Malaysian exports attractive, which means CPO Futures likely to points as Malaysian Ringgit weakened down to 4.4636 to a US Dollar. US strong exports from Malaysia, low stocks in India and weak Ringgit—offers
time this year and at 4.5 years high in this short week. Mar ended 3 points rise in Ringgit terms but stable in US Dollar basis. But weak Ringgit sup- Dollar gained following US Fed Reserve increasing interest rate in a widely more upside for palm Futures and physical prices to rise. ITS 1-15th Dec
down after trading between 3202 to 3151 at the back of strong volume porting high Futures and physical palm prices may not offer strong long anticipated move. Currency and equity market was jittery at Asia morning Malaysia export fell 7.59%. Exports to India & the sub-continent was zero in
today. Ringgit was still struggling to gain footing losing 0.25% to the US term support, just like weather trading on soybeans is a very short term opening. CPO Futures which was already trading on weakness of Malaysian the last 5 days, showing there are still lingering issues with the world larg-
Dollar to end at 4.4755—the question now is will it hit 5 Ringgit to a U.S blip. All critical palm data is now published. Next week—1-20th Dec Malay- currency since post US Presidential election received fresh impetus from est palm buyer.
Dollar. Weak A weaker Ringgit will make CPO Futures attractive to foreign sia SPPOMA and MPOA production and ITS & SGS exports.
PRICES/SPREADS
PRICES Futures Ͳ Bursa Malaysia Derivatives  
Futures Ͳ Bursa Malaysia Derivatives  
FCPO on BMD Closing (RM) Closing (US$)  RM % Vol
FCPO on BMD Closing (RM) Closing (US$)  RM % Vol
Benchmark Ͳ Feb 3,176 712  +51 +1.63 8,251
Benchmark Ͳ Feb 3,158 706  Ͳ3 Ͳ0.09 24,813 SPREADS  US$   Change % 
SPREADS  US$   US$ %  CPOͲGO Spread  223.41  +9.98 +4.68 
CPOͲGO Spread  224.53  +11.10 +5.20  CPOͲSB Spread  335.54  +9.84 +3.02 
CPOͲSB Spread  336.66  +10.96 +3.36  SBOͲOL Spread  82.00  +5.50 +7.19 
SBOͲOL Spread  68.00  Ͳ14.00 Ͳ17.07    
         
       PRICE WATCH
Physical Ͳ Reported Trades and Bid/Offer Prices  With the US Federal Reserve raising its benchmark interest rate by 0.25 percentage points, investment funds are pulling funds back to the safe haven of
American bonds, leading the ringgit (and other currencies) to slide. This causes CPO price inflation in ringgit terms, with the February contract opening
(all in perͲmetric ton unless otherwise specified) b = buyer & s = seller the day at RM3135 (US$702) then moving up to RM3176 by midday. Pushing prices up also is continued concerns over weak production in Malaysia
and low stocks in India as it continues to grapple over the fallout of the government’s currency lockdown policy. These issues have overridden the persis-
CPO FOB Indonesia Ͳ Belawan (BL) / Dumai (DM) tent weakness in Malaysian exports, which are estimated to have slid by another 7.6% over the first 15 days of December.
Delivery month Jan FebͲMar JFM AMJ 
USD 760 (s) 755 (s) 757.50 (s) 740 (s) 
     
Physical Ͳ Reported Trades and Bid/Offer Prices 
CPO CIF Rotterdam (all in perͲmetric ton unless otherwise specified) b = buyer & s = seller
Delivery month AMJ JAS OND   CPO FOB Indonesia Ͳ FOB Belawan (BL) /Dumai (DM)
USD 765 (s) 740 (s) Ͳ 775 (b) 735 (s) Ͳ 715 (b)   Delivery month Jan FebͲMar AMJ  
      USD 762.50 (s) 755(s) 740 (s)  
     
RBD Palm Olein FOB Malaysia —Port Klang (PK) or Pasir Gudang (PGG) Ͳ Reported trades
RBD Palm Olein FOB Malaysia—Port Klang (PK) or Pasir Gudang (PGG) Ͳ Reported trades
Delivery month FebͲMar AMJ   
Delivery month AMJ    
USD 745 725, 722.50, 720, 717.50   
USD 720    
           
 
1 1

POA Mid-day Market Report POA Closing Market Report

28
 Palm Price Tracker

Historical and daily price assessment are available to Palm Oil Analytics daily market report subscribers
Vegoil
Price Series Full Description Frequency
CBOT Daily Closing prices for soya bean oil CBOT Daily Closing prices for soya bean oil Daily close

PFAD - FOB Malaysia Palm Fatty Acid Distillate (PFAD) - FOB Malaysia - Monthly average prices Monthly average

RBDPO - FOB Malaysia Refined Bleached Deoderised Palm Oil - FOB Malaysia - Daily prices Daily prices

RBDPO - FOB Malaysia - Monthly ave prices Refined Bleached Deoderised Palm Oil - FOB Malaysia - Monthly average prices Monthly average

RBDPOL - FOB Malaysia Refined Bleached Deoderised Palm Olein (RBDPOL) - FOB Malaysia - Daily prices Daily prices

RBDPOL - FOB Malaysia - Monthly prices Refined Bleached Deoderised Palm Olein (RBDPOL) - FOB Malaysia - Monthly prices Monthly average

MPOB RBDPS Monthly Malaysia Refined Bleached Deoderised Palm (RBDP) Stearin - FOB Malaysia - Monthly average prices Monthly average

Crude Degummed Soya Bean Oil - FOB Brazil Crude Degummed Soya Bean Oil - FOB Brazil Daily

CPO - FOB Indonesia Crude Palm Oil - FOB Indonesia Daily

CPO - CIF Rotterdam Crude Palm Oil  - CIF Rotterdam Daily

PFAD - FOB Indonesia Palm Fatty Acid Distillate (PFAD) - FOB Indonesia Monthly

RBDPO - CIF Rotterdam Refined Bleached Deoderised Palm Oil - CIF Rotterdam Daily

RBDP Stearin - FOB Malaysia - Daily last settle price Refined Bleached Deoderised Palm (RBDP) Stearin - FOB Malaysia - Daily last settlement price Daily last settlement price

RBDPO - CIF USA - Monthly prices Refined Bleached Deoderised Palm Oil - CIF USA Monthly

RBDP Stearin - CIF USA - Monthly prices Refined Bleached Deoderised Palm (RBDP) Stearin - CIF USA Monthly

CPO Third month benchmark settlement on BMD in USD Futures Crude Palm Oil (FCPO) Third Month Settlement price in USD Daily

CPO Third month benchmark settlement on BMD in RM Futures Crude Palm Oil (FCPO) Third Month Settlement price in RM Daily

Laurics
Price Series Full Description Frequency
RBDPKO - FOB Malaysia Refined Bleached Deoderised Palm Kernel Oil (RBDPKO) - FOB Malaysia Monthly average

Crude Coconutoil FOB Philippines Crude Coconutoil FOB Philippines Daily

Crude Coconut Oil CIF Rotterdam Crude Coconut Oil CIF Rotterdam Daily

CPKO - FOB Indonesia Crude Palm Kernel Oil (CPKO) - FOB Indonesia Daily

CPKO - CIF Rotterdam Crude Palm Kernel Oil (CPKO) - CIF Rotterdam Daily

CPKO - CIF Rotterdam - Annual average Crude Palm Kernel Oil (CPKO) - CIF Rotterdam - Annual average Annual average

Local CPKO - Domestic delivery - Pasir Gudang, Malaysia Local Crude Palm Kernel Oil (CPKO) - Domestic delivery South - Pasir Gudang, Malaysia Daily average

Crude Coconut Oil CIF New Orleans Crude Coconut Oil CIF New Orleans Monthly

RBDPKO - CIF NY-NOLA - Monthly prices Refined Bleached Deoderised Palm Kernel Oil (RBDPKO) - CIF NY-NOLA Monthly

29
 Glossary of Palm Oil Terms & Abbreviations

Acronym Name Description Acronym Name Description

AMJ April, May, June Term commonly used in trading for forward delivery months HCV High Conservation Value HCV covers a broad range of conservation priorities including biological,
APROBI Asosiasi Produsen Association of producers of Indonesion biofuels ecological and cultural values
Bofuels Indonesia HCVA High Conservation Value HCVA contains outstanding and critical importance due to their environmental,
BMP Best Management Management strategies used to prevent or reduce pollution generated from an Areas socio-economic, cultural, biodiversity and landscape value
Practices activity. In terms of palm oil pollution, BMPs could be water management, pest GAPKI Indonesian Palm Oil GAPKI is an organisation that carries out efforts to promote and improve the
control and fertiliser management. Association Indonesian palm oil industry.
BAP Biodiversity Action Plan A process used to access how a company's activities affect biodiversity and ISPO Indonesian Sustainable ISPO standard is developed by the Indonesian government to ensure that all
renewable natural resources and how these impacts can be managed and Palm Oil Indonesian palm oil growers conform to higher agricultural standards.
mitigated. IPM Integrated Pest IPM is an ecosystem based method of crop protection which includes
CSPO Certified Sustainable CSPO is a plam oil from a plantation that has been managed and certified Management techniques such as biological control and habitat manipulation
Palm Oil according to the principles of the Roundtable on Sustainable Palm Oil (RSPO) JFM January, February, March Term commonly used in trading for forward delivery months
CNO Coconut Oil CNO is an edible oil extracted from kernel of mature coconuts harvested from the JAS July, August, September Term commonly used in trading for forward delivery months
coconut palm
LH Last Half ( of the month) Term commonly used in trading for forward delivery months
C+F Cost and Freight Type of shipping agreement, normally refers to cost and freight at a discharge port
MEOMA Malaysia Edible Oil Maintains relationships with government bodies and trade associations. It is
CNF Cost and Freight Type of shipping agreement where the seller pays for delivering the item to the port Manufacturer's Association affiliated with international tarde associations such as Federal of Oil, Seeds and
closest to the buyer Fats Associations LTD ( FOSFA) and ASEAN Vegetable Oils Club ( AVOC).
CIF Cost, Insurance and Type of shipping agreement, normally refers seller to arrange the for the carriage of MPOA Malaysian Palm Oil Acts as an integrated entity of the Malaysian oil palm and other plantation
Freight goods by sea to a port destination and provide the buyer with necessary documents Association industries
to obtain the goods
MPOB Malaysian Palm Oil Board MPOB is a government agency entrusted to serve the country’s oil palm
CCNO Crude Coconut Oil CCNO is unrefined coconut oil that has been obtained directly from the coconut and industry. Its main role is to promote and develop national objectives, policies and
the oil extraction process priorities for the wellbeing of the Malaysian oil palm industry
CPKO Crude Palm Kernel Oil An edible palm oil derived from the kernel of oil palm. Kernel oil differs from palm MPOC Malaysian Palm Oil Council An organisaton that enhances he image of palm oil and uses technological and
oil as it is extracted from palm seed. Palm kernel oil, coconut oil and palm oil are economic advantages to create greater awareness of palm oil
among the highly saturated vegetable fats.
MSPO Malaysian Sustainable MSPO standard is a national certification created by the Malaysian government
CPO Crude Palm Oil An edible vegetable oil which is extracted from the reddish pulp of fruit of oil palms. Palm Oil and developed with input for the stakeholders in the palm oil industry
It is different from kernel oil and coconut oil and it is similar to pulp colour because of
high inactive vitamin A content. MEMR Ministry of Energy and Established in 1984 to administer and organise the energy sector in a way to
Mineral Resources of achieve national objectives
EFB Empty Fruit Brunch Empty Fruit Brunches are a secondary product of the palm oil milling process, left Indonesia
over after the fruits from the fresh fruit brunches have been removed for oil extraction
NIOP National Institute of An international trade association with a main objective of promoting the
FOSFA Federation of Oil Seeds A professional international contract issuing and arbitral body concerned exclusively Oilseeds Producers USA business welfare of firms and corporations engaged in the buying, selling ,
Fats Association, Europe with the world trade in oilseeds, oils and fats processing, storage, shipping and use of vegetable oils and raw materials.
FH First Half Term used to described Jan to Jun period OND October, November, Term commonly used in trading for forward delivery months
FFA Free Fatty Acid A nonsterified fatty acid which can be used as an instant source of energy by many December
organs and converted by the liver into ketone bodies. Palm oil is composed of fatty OER Oil Extraction Rate Two methods can be used to extract palm oil. The dry and wet method. The
acids. dry method uses mechanical presses to squeeze the oil out using mechanical
FOB Free on Board Type of shipping terms, normally its FOB load port. FOB is a term that indicates pressure. The wet method uses hot water to leach out the oil. The rate is
whether the seller or the buyer has liabiity of goods that are damanged or destroyed measured in percentage
during shipment between the two parties. FOB shipping point means the buyer is PAO Palm Acid Oil PAO is a biofuel feedstock derived from Palm Oil Mill Effluent( POME). It is a
at risk while the goods are being shipped and FOB destination means that the seller by-product of the chemical refining of palm oil and consist of free fatty acids and
retains the risk of loss until the goods reach the buyer neutral oils.
FPIC Free, Prior and Informed FPIC is the principle that a community has the right to give or withhold its concent to PFAD Palm Fatty Acid Distillate A by-product from palm kernel oil from refining crude palm oil. It is light brown
Consent proposed projects that may affect the lands they customarily own, occupy or use solid and room temperature and melts to a brown liquid upon heating
FFB Fresh Fruit Bunches Oil palm tree typically starts to bear fresh fruit bunches after three years. Each fruit PKO Palm Kernel Oil Palm Kernel Oil is an edible oil taken from the kernel of the oil palm. It should not
on a fruit bunch contains 50% oil be confused with the other two edible oils derived from palm fruits; palm oil and
GHGs Greenhouse gas A greenhouse has contributes to the greenhouse effects by absorbing and emitting coconut oil.
heat in the atmosphere POIG Palm Oil Innovation Group POIG is an initiative between environmental and civil society organisations and
HCS High Carbon Stock HCS is used to refer to areas of land that store large volumes of carbon and industry companies that aim to build upon RSPO principles and criterias
should be protected from development to prevent the release of carbon into the POME Palm Oil Mill Effluent POME is a highly acidic waste water discharged from the sterilisation and
atmosphere clarification processess in milling oil palm

30
 Glossary of Palm Oil Terms & Abbreviations

Acronym Name Description Name Description

PORAM Palm Oil Refiners Began operation in 2001. This company is involved in direct brokerage for Biofuel A fuel derived from recently living biological material such as harvested
Association of Malaysia the fullr ange of palm oil products and other Vegoil products and derivatives plant matter or animal waste
including by products. Bleaching The oil is mixed with bleaching earth ( bentonite calcium) in a vaccum
POC Price Outlook Conference Annual premier of palm oil conference held in Kuala Lumpur, Malaysia in room to remove impurities and color pigments in the palm oil
March, featuring palm price outlook for the year. A must attend for anyone in Degumming The gum and fatty acid in crude palm oil and crude palm kernel oil are
palm market. separated together with other impurities such as iron, copper and trace
Rapeoil Rapeseed oil Also known as canola. The name was changed to canola by Canada some minerals by the applying phosporic acid
years ago. Canola means Canadian oil. Canada is the largest producer of Deodorising The odour and taste of oil is removed when the oil is steamed at high
rapeseed oil. Oils in supermarket are labeled canola temperatures of between 240 degrees to 260 degrees and cooled at
RBD Refined, bleached and Refined, bleached and deodorised. These are the three stages of process to room temperature
deoderised produce refined oil such as palm oil and palm kernel oil. RBD oil is made from Fractionation Fractionation is a process that separates a substance into smaller parts,
copra, dried coconut kernel which is pressed in a heated hydraulic press to also known as fractions. Palm oil can be fractionated into liquid palm
extract the oil. olein and solid palm stearin at a ratio of 80:20
RBD Palm Refined, bleached and A liquid fraction obtained by the fractionation of palm oil after crystallization Fronds A large divided leaf of a fern, palm or similar plants.
Olein deoderised Palm Olein at controlled temperatures. Commonly used as raw materials in the
manufacture of soaps, washing powder and other hygiene and personal care Futures A futures trading is a form of investment carried out by speculating on
products. the price of a commodity going up or down in the future
RBD Palm Refined, bleached and A solid fraction obtained by the fractionation of palm oil after crystallization Hectare A hectare (ha) is a metric unit used for measuring land area. 1 hectare
Stearin deoderised Palm Stearin at controlled temperatures. Besides edible usage, it can be used for making = 10, 000m2
soaps and formulating animal feeds. Hedging Hedging means to reduce risk. It is done by offsetting transactions that
RBD PKO Refined, Bleached, RBD PKO is a fully bleached, refined, deoderised vegetable oil derived from will eliminate one or more types of risk
Deodourised Palm Kernel Oil the liquid fraction of the palm kernel oil Independent smallholders Small holders which are not bound to a specific mill. The RSPO
RBDPKO Refined, Bleached, To produce palm kernel oil, a three stage process of refining takes place; Guidance on Scheme Smallholders ( July 2009) are labelled by their
Deodourised Palm Kernel Oil degumming, bleaching and deoderising freedom to choose how to use their lands, which crops to plant and how
to manage them.
RSB Roundtable on Sustainable RSG was established in 2007. It is a global certification scheme to encourage
Biomaterials the sustainable production of biofuels and other biomaterials Land Tenure Land Tenure is the name given to the legan regime in which land is
owned by an individual
RSPO Roundtable on Sustainable An organisation established in 2004 which has established international
Palm Oil standards for sustainable palm oil production Landbank A company's landbank refers to the total area under the company's
ownership or management. This includes all land for oil palm cultivation
SOPPOA Sarawak Oil Palm Plantation A newly formed association representing Sarawak Oil Palm Plantation
Owners' Association Owners in Sarawak to promote working relationships between owners and Legally protected areas Areas that are legally designated for the protection and conservation of
relevant parties and address issues pertaining to Sarawak's oil palm industry. biodiversity

SEA Solvent Extractors Main association body governing vegetable oil group in India. Regularly Liquidity Liquidity is the ease with which a security can be traded on the market.
Association of India releases monthly vegetable import data It is usually defined by the turnover of the shares divided by the number
of shares in the issue
SPPOMA South Peninsular Palm Oil Group of palm oil millers in the southern Peninsular of Malaysia. The state of
Millers Association Johor - the largest producer in the Peninsular has 17 refineries in the group Oleochemicals Oleochemicals are chemicals derived from plant or animal fats. Its
primarily used to make soaps, detergents and as input to various other
SOPA Soybean Processors National level body representing the soybean processors, farmers, exporters houshold and personal care products
Association of India and brokers in India 
Saturated Fat A fat that contains saturated fatty acids which usually comes from butter
SFO Sunflower oil An oil which is high in Vitamin E and low in saturated fat. There are two or meat
common types of sunoil known as linoleic and high oleic . Linoleic is a
common cooking oil. Threshing A process of looseing the edible part of cereal grain( or other crops) from
the inedible chaff that surrounds it. It is a process done to prepare grains
ISCC The International ISCC is a scheme established in 2010 and is a system certifying the biomass after harvesting
Sustainability and Carbon and bioenergy industries with an aimt towards sustainable land use and
Certification reduction of greenhouse gas emissions Traders Traders buy and sell goods, shares, currency. In palm oil, there are two
types of traders; physical palm oil traders and agricultural commodity
SPOM The Sustainable Palm Oil Established in 2014, SPOM is an initiative of five palm oil producers to traders
Manifesto initiate the HCS ( High Carbon Stock) Study to define what constitues HCS
according to its Steering Committee
USDA United States Department of USDA host and release regular domestic and global reports and data. Main
Agriculture reports relating to palm are USDA Weekly sales, USDA Quarterly Stocks and
USDA World Agriculture Supply and Demand Estimate covering oilseeds and
grains

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 Data source

Palm Oil Analytics (POA) price assessments

Biofuels Digest

Bursa Malaysia Derivative (BMD)

Cofeed - China

Company annual reports

Indonesia Palm Oil Association (GAPKI)

Intertek Testing Service (ITS)

Malaysia Palm Oil Board (MPOB)

PT Perkebunan Nusantara IV (PTPN)

Roundtable on Sustainable Palm Oil (RSPO)

Solvent Extractors Association of India (SEA)

United Nations Food and Agriculture Organisation (UN FAO)

United States Department of Agriculture (USDA)

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