KUALA LUMPUR: Global edible oil prices are nearing their peak but may be slow to decline to previous levels due to low stocks, a slow recovery in output and higher global use in biofuel production, leading analysts said on Wednesday. World palm oil supply is expected to expand by 3 million tonnes in 2021 after suffering a decline of 2.5 million tonnes last year, Mistry added. The modest recovery in global palm oil supply will limit the price decline, said Thomas Mielke, head of Hamburg-based analyst firm Oil World. Palm oil, the world's cheapest and most widely used edible oil, is found in everything from biscuits to biofuel. Mielke pegged biodiesel production to rise by 2.2 million tonnes this year, with 17.9 million tonnes of palm oil likely to be used for biodiesel and Hydrotreated Vegetable Oil (HVO).

Source: The Star March 24, 2021 15:00 UTC