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<br>Indonesia plans to execute B40 in January<br> |
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<br>Because case, rates might rally 10%-15% in Jan-March, Mielke states<br> |
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<br>B40 will require extra 3 mln loads feedstock, GAPKI says<br> |
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<br>Malaysia palm oil criteria at highest since mid-2022<br> |
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<br>India might withdraw import tax hike amid inflation, Mistry states<br> |
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<br>(Adds analyst remarks, updates Malaysia's palm oil standard rate)<br> |
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<br>By [Bernadette](https://www.bloomberg.com/profile/company/MNELF:US) Christina<br> |
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<br>NUSA DUA, Indonesia, Nov 8 (Reuters) [- Indonesia's](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) [palm oil](https://www.sec.gov/Archives/edgar/data/1463471/000165495419013063/R31.htm) output is anticipated to recuperate in 2025 after an anticipated drop this year, however costs are expected to stay raised due to scheduled expansion of the country's [biodiesel](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) required, market analysts said.<br> |
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<br>The palm oil price in Malaysia has actually increased more than 35% this year, raised by sluggish output and Indonesia's plan to increase the [mandatory domestic](https://www.zoominfo.com/c/mission-newenergy/346542889) [biodiesel](https://biodieselmagazine.com/articles/felda-global-buys-missions-kuantan-port-plant-for-11-5-million-9053) mix to 40% in January from 35% now in an effort to [decrease fuel](https://www.nasdaq.com/market-activity/ipos/overview?dealId=804419-65608) imports.<br> |
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<br>Palm oil output next year in top [manufacturer Indonesia](https://pitchbook.com/profiles/company/51278-86) is expected to recuperate by 1.5 million metric lots compared with an estimated drop of simply over a million lots this year, Julian McGill, [managing director](https://stocktwits.com/symbol/MNEL) at [Glenauk](https://www.zonebourse.com/cours/action/MISSION-NEWENERGY-LIMITED-8557641/) Economics, informed the Indonesia Palm Oil Conference on Friday.<br> |
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<br>Thomas Mielke, head of Hamburg-based research study firm Oil World, said he expects Indonesia's palm oil [production](https://www.nasdaq.com/market-activity/ipos/overview?dealId=804419-65608) to [increase](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) by as much as 2 million lots next year after a 2.5 million heap drop in 2024.<br> |
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<br>While Indonesia's output is [anticipated](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) to improve, supply from in other places and of other veggie oils is seen tightening.<br> |
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<br>Palm oil output in neighbouring Malaysia is expected to dip somewhat next year after [increasing](https://stocktwits.com/symbol/MNEL) by an approximated 1 million heaps in 2024.<br> |
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<br>"We would need a recovery in palm in 2025 due to the fact that combined exports of soya, sunflower and rapeseed oils are decreasing," Mielke said.<br> |
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<br>'FRIGHTENING' PRICE SURGE<br> |
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<br>The rate surge in palm oil in the past 7 weeks has actually been "frightening" for purchasers, Mielke stated, adding that it would rally by 10%-15% in January-March if Indonesia enforces the so-called B40 policy.<br> |
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<br>The Indonesia Palm Oil Association stated extra feedstock of around 3 million loads will be required for B40 execution, eroding export supply.<br> |
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<br>The existing palm oil [premium](https://www.intelligentinvestor.com.au/shares/asx-mbt/mission-newenergy-limited/share-price) has currently [triggered palm](https://www.google.com/search?kgmid=/m/0cqd_rb) to lose market share versus other oils, Mielke added.<br> |
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<br>Malaysian palm oil prices are seen trading at around $950 to $1,050 per metric lot in 2025, McGill of [Glenauk approximated](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html).<br> |
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<br>Benchmark Malaysian palm oil touched 5,104 ringgit ($1,165.30) on Friday, the highest given that mid-2022.<br> |
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<br>"Sentiment right now is red-hot and extremely bullish, we have to be careful," said Dorab Mistry, director at Indian durable goods company Godrej International.<br> |
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<br>He forecast the Malaysian price around 5,000 ringgit and above until June 2025.<br> |
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<br>Mielke and Mistry prompted Indonesia to<br> |
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<br>think about postponing<br> |
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<br>B40 execution on concern about its effect on [food customers](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html).<br> |
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<br>Meanwhile, Mistry anticipated leading palm oil importer India to withdraw its<br> |
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<br>import duty hike<br> |
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<br>imposed from September after [elections](https://www.google.com/search?kgmid=/m/0cqd_rb) in the state of [Maharashtra](https://www.sec.gov/Archives/edgar/data/1463471/000165495419013063/R31.htm) in November. ($1 = 4.3800 ringgit) (Reporting by Bernadette Christina Munthe [Writing](https://www.crunchbase.com/organization/mission-newenergy) by Fransiska Nangoy |
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