Foreign media, March 28: Malaysia Palm Oil Council (MPOC) on Monday forecast that global palm oil production will rise slightly in 2022, from 76.4 million tons in 2021 to 79.5 million tons, an increase of 3.1 million tons or 4.05 percentage points year-on-year.
Global palm oil consumption in 2022 is expected to be 79.8 million tons, up from 76.5 million tons in 2021; palm oil stocks at the end of 2022 could fall to 12.3 million tons, compared with 12.7 million tons a year ago.
However, the global stock-to-use ratio remains historically low, with MPOC forecasting a global oil stock-to-use ratio of 8.89% in 2022, compared to 9.34% in 2021.
In terms of supply and demand in the two major palm oil producing countries, Malaysia's palm oil production is expected to reach 18.9 million tons in 2022, which, if the forecast becomes a reality, will be 4.42% higher than the 18.1 million tons produced in 2021. Foreign workers will arrive in the second quarter.
MPOC expects Malaysian palm oil exports to reach 17 million tons in 2022, up from 15.57 million tons in 2021; ending stocks are expected to be 1.95 million tons, up from 1.61 million tons at the end of 2021.
MPOC also forecasts Indonesia's 2022 gross palm oil production to reach 47.1 million tons, up from 45.2 million tons in 2021 and up 4.2% year-on-year.