RM seed prices are expected to trade with weak bias tracking palm oil export ban lift by Indonesia

Indonesian farmers protested to uplift palm oil export ban as their income slashed amid low byuing from mills. According to Indonesia smallholder farmers' group APAKSINDO, 25% mills have stopped procuring palm fruits from farmers due to lack of storage capacity. Farmers are in dilemma, whether to harvest fruits to render damage due to low shelf life or to leave it on trees, which will harm palm trees.

Pressure of farmers' protest led the Indonesian Government to uplift ban of palm oil export even before the prices hit the 14,000 Rupiah level. President Jokowi, announced to uplift the palm oil export ban from 23rd of May onwards. RM seed prices are expected to trade with weak bias tracking palm oil export ban lift by Indonesia in the range of 7,000-7350 in near term.