Mixed news

Hope everyone that went enjoyed Sial trade show. Think it was a success if you could stand the queues for everything. We have also seen a recent Palm Oil convention in Kuala Lumpur talk about tghe market for 2017. Mixed was the starting line for this and that’s the news that came out of KL. Traders could not really agree for the market direction in 2017. They disagreed about prospective lower crops in 2017 and also if demand would fall or not as well. Some traders believed that we could see Palm oil crops fall between 5-10% next year and demand increase by the same. Others though felt the drop in crops may not even happen and demand will fall away as well. Coconut oil has been fairly stable recently as its tracked recent calm edible oils markets in general. Everyone is really watching the weather in the Philippines to see about any storm damage.

The main news about desiccated is the shortness on the spot market. With so little being held in Europe at the moment any spot material seems to be selling for heavy premiums. But buyers are short so forced to pay the extra. Philippines shippers are sold through to 2017 now for the most parts which will most likely make the spot market even tighter.