Palm oil is currently the world's most consumed vegetable oil. Soybean oil and palm oil account for about 61% of the world's total vegetable oil production. Crude Palm Oil (CPO) is the first-grade variant which is extracted from palm fruit. When CPO is further refined, it produces products such as refined palm oil, palm kernel oil, and RBD palm olein.
The oil palm value chain can be divided into 3 segments, namely the upstream segment (planting, cultivation and harvesting), middle segment (refining and processing) and downstream segment (retail end products, brands and industrial derivatives).
Indonesia is the world's largest producer of palm oil. Together with Malaysia, they account for 84% of global palm oil production. Meanwhile, India and China are the world's largest consumers, accounting for 21% and 16% of palm oil consumption.
Fundamental Drivers of the Palm Oil Market
Why Trade Palm Oil?