SUBSCRIBER NOTE: Platts proposes to launch CIF Rotterdam Crude Palm Oil, Crude Palm Kernel Oil assessments

S&P Global Platts proposes to launch a daily Crude Palm Oil (CPO) CIF Rotterdam assessment and a daily Crude Palm Kernel Oil (CPKO) CIF Rotterdam assessment, effective November 1, 2019.

The proposal follows continued growth in the European palm oil market, with the EU now accounting for 10% of global demand. Indonesia and Malaysia currently represent around 90% of global palm oil supply.

Following a period of market research and outreach, Platts proposes to launch both assessments, which will reflect the prevailing value of the market at 4:30 pm London time. Both assessments will be published in US dollars/mt.

The CIF Rotterdam assessments will reflect typical Malaysian/Indonesian quality CPO and CPKO respectively. Both assessments will represent material with maximum Free Fatty Acids (FFA) content of 5% and maximum Moisture and Impurities (M&I) content of 0.50%.

Both assessments will reflect a typical parcel size of 500 mt. The CPO CIF Rotterdam assessment will reflect parcels for shipment one calendar month forward; the CPKO CIF Rotterdam assessment will reflect parcels for shipment one month forward, but over a period of two calendar months. Both are basis a Malaysia/Indonesia shipment time into Rotterdam.

The assessment laycan for both assessments will roll over to the next calendar month on the first publication day after the 15th of each month.

For example, from October 16-November 15, the CPO CIF Rotterdam assessment would reflect parcels shipping in December, while the CPKO CIF Rotterdam assessment would reflect parcels shipping over December-January. From November 16-December 15, the CPO CIF Rotterdam assessment would reflect parcels shipping in January, while the CPKO CIF Rotterdam assessment would reflect parcels shipping over January-February.

During the Market on Close (MOC) assessment process, Platts will seek to publish all relevant market information including bids, offers or trades of CPO and CPKO of different specifications, locations and volume; these may be normalized to the standard for assessment purposes.

Please send any feedback or questions by September 30 to europe_ags@spglobal.com and pricegroup@spglobal.com.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available upon request.