KL's palm oil output to rise

KL's palm oil output to rise

KUALA LUMPUR (AFP): Malaysia's palm oil production in 1997 is
forecast to rise two percent to 8.2 million tons from 8.04
million tons this year, a government report said.

But the price of crude palm oil is expected to fall seven
percent to 1,100 ringgit (US$440) a ton from 1,184.50 ringgit
estimated for 1996, according to Malaysia's annual economic
report.

Malaysia is the world's biggest palm oil producer, accounting
for 62 percent of the world's output and 22 percent of the
international oils and fat trade.

The report said the production of other primary commodities in
the country, namely rubber, tin and crude oil, is expected to
slow down next year with general decline in prices.

The production of sawn logs is also forecast to be 3.2 percent
lower at 30,000 cubic meters (1.05 million cubic feet), the
report said.

Rubber output is forecast to drop five percent to 1.01 million
tons, tin output is expected to be marginally lower at 6,200
tons, and crude oil production is forecast to ease two percent to
691,000 barrels a day.