SUBSCRIBER NOTE: Platts launches daily Crude Palm Oil, RBDP Stearin, PFAD assessments Sep 2

S&P Global Platts has launched on September 2, 2019, daily Crude Palm Oil FOB Indonesia and CFR West Coast India assessments, as well as daily Palm Fatty Acid Distillate (PFAD) FOB Indonesia and Refined Bleached Deodorized Palm Stearin (RBDP Stearin) FOB Indonesia assessments, to bring greater transparency to this growing market.

Global Crude Palm Oil production in 2018 stood at around 73.3 million mt, a 7% increase year on year, with Indonesia accounting for nearly 56%. India, meanwhile, is the single largest importer of palm oil globally. India imports more than 60% of total palm oil volumes exported globally, with imports expected to rise by around 10% in the current marketing year, according to industry association estimates. Crude palm oil derivative PFAD is used, for example, to produce animal feed, soap and biodiesel, while RBD Palm Stearin is used to manufacture products such as margarine, candles and soap.

Following a period of market research and outreach, Platts has launched the following assessments. All the assessments will be published in US dollar/mt and reflect the prevailing value of the market at 6:00 pm Singapore time (1000 GMT).

Crude Palm Oil

SPECIFICATIONS: The Crude Palm Oil FOB Indonesia assessment reflects maximum Free Fatty Acids (as palmitic) content of 5% and maximum Moisture and Impurities (M&I) content of 0.5%. The Crude Palm Oil CFR WC India assessment reflects maximum FFA (as palmitic) content of 4.5% and maximum M&I content of 0.5%.

LOCATION & VOLUME: The FOB Indonesia assessment reflects parcels loading out of Dumai, while the CFR West Coast India assessment reflects parcels for delivery into Kandla. Both assessments reflects a typical clip size of 1,000 mt.

LAYCAN: Both the FOB Indonesia and CFR WC India assessments reflect parcels shipping one month forward. For the CFR WC India assessment, this is basis an Indonesia shipment time into WC India. The assessment laycan for both assessments will roll over to the next calendar month on the first publication day after the 15th. For example, from August 16-September 15, the FOB Indonesia and CFR WC India Crude Palm Oil assessments will reflect parcels shipping in October, while from September 16-October 15, the assessments will reflect parcels shipping in November.

PFAD

SPECIFICATIONS: The PFAD FOB Indonesia assessment reflects the specifications for PFAD as defined by the Palm Oil Refiners Association of Malaysia (PORAM).

LOCATION & VOLUME: The assessment reflects parcels loading out of Dumai, with a typical clip size of 500 mt.

LAYCAN: The assessment reflects parcels shipping one month forward, but over a period of two calendar months. The assessment laycan will roll over to the next two calendar months on the first publication day after the 15th. For example, from August 16-September 15, the FOB Indonesia PFAD assessment will reflect parcels loading over October-November, while from September 16-October 15, the assessment will reflect parcels loading over November-December.

RBDP Stearin

SPECIFICATIONS: The RBDP Stearin FOB Indonesia assessment reflects the specifications for RBDP Stearin as defined by PORAM.

LOCATION & VOLUME: The assessment reflects parcels loading out of Dumai, with a typical clip size of 500 mt.

LAYCAN: The assessment reflects parcels shipping one month forward, but over a period of two calendar months. The assessment laycan will roll over to the next two calendar months on the first publication day after the 15th. For example, from August 16-September 15, the FOB Indonesia RBD Palm Stearin assessment reflects parcels shipping over October-November, while from September 16-October 15, the assessment will reflect parcels shipping over November-December.

These assessments will appear on Platts Agriculture Alert page 2806, in the Platts Daily Grains and Oilseeds publication, and in the Platts price database under the following codes:

Crude Palm Oil FOB Indonesia (ACPOA00)

Crude Palm Oil CFR WC India (ACPOB00)

PFAD FOB Indonesia (APFAD00) and

RBDP Stearin FOB Indonesia (ARBSA00)

Please send any further comments or questions to asia_ags@spglobal.com and pricegroup@spglobal.com.

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