Interim statement of the SIPEF group per 31 March 2019
- Unfavourable weather led to a 5.75% fall in total palm oil production during the first quarter;
- The Group expects this current trend to rebound in the course of the year, producing a positive growth figure;
- The palm oil market slowly recovered from the very low prices in the fourth quarter of 2018 and fluctuated around USD 540 per ton CIF Rotterdam during the first quarter;
- 37% of estimated 2019 palm oil production was sold at USD 586 per ton CIF Rotterdam, premiums included;
- Management is reasonably confident that the markets will rise, but remains cautious with regard to the unpredictability of possible external events;
- Cultivated areas have risen to 11 015 hectares in Musi Rawas in South Sumatra, Indonesia, where expansion continued steadily.