Asia PME Biodiesel Stable; Exports Face Challenging Outlook
Prices of palm methyl ester (PME) biodiesel in southeast (SE) Asia are expected to see little upside ahead as obstacles persist for regional exporters.
In the week ended 7 December, prices were steady at $700-750/tonne FOB (free on board) SE Asia, according to ICIS data. Dealings were muted, with hardly any discussions for export cargoes to the EU.
“It has been quiet. Not sure if it’s because it’s almost the year-end,” a market source said.
In Asia’s palm oil markets, futures prices on Bursa Malaysia were down by about 1-2% compared with the previous week. Prices were under pressure on concerns of weaker demand from the main palm oil export markets in the coming months, according to media reports.
Biodiesel is a biofuel produced from renewable resources and the most commonly used feedstocks are rapeseed, soy and palm oil.
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