CPO Demand in 2023 : Economists see the prospect of crude palm oil (CPO). In the export market is still prospective next year. Even though it is overshadow by the global recession. Because demand for CPO derivative products is project to remain high. Researcher Center of Industry. Trade. And Investment Indef Ahmad Heri Firdaus said that CPO and its various derivative products. One of which is soap. Are products that are need by the community. “Regardless of any conditions, this can be the main need needed by people everywhere, so the demand will still continue.
CPO Demand in 2023 Still High
According to Heri, in terms of volume, it is certain to be stable or increase, but from a price point of view, it cannot be predict because it is influenc by various things, such as logistics, rising interest rates, and inflation. The price of palm oil substitution will also affect palm products. Considering that countries such as Russia, Europe and America are producers of vegetable oils other than palm oil. “In terms of volume, I think it’s still good, but in terms of value it’s still difficult to predict, because we don’t know when Russia will invade again.
Furthermore, Heri said that the recession that would shake the demand side by the world community would not be significant for palm oil products and their derivatives. Palm oil commodity is predicted to be Indonesia’s mainstay in maintaining the national economy in the midst of various global threats, one of which is the Russia-Ukraine war and recession. “If the recession is on the supply side, the world’s demand can weaken, but not for palm derivative products,” concluded Heri.
The Indonesian Palm Oil Association (Gapki) noted that the performance of the palm oil industry until September 2022, production has reached 37 million tons with exports of 22 million tons. Meanwhile, the estimated production by the end of this year is approximately 51.8 million tons, consisting of 47 million tons of CPO and 4.8 million tons of crude palm kernel oil (CPKO), while exports are expected to reach 30 million tons.