Sector Focus 

Palm oil companies face production surge

Palm oil companies face production surge

Palm oil may seem like a more obscure commodity, but it is actually found in a range of everyday products. Refined palm oil is used in preserved foods such as chocolate bars and instant noodles, while the kernel oil is found in things such as shampoo, cleaning products and soap. The end of particularly dry weather caused by El Niño has brought on a surge in production of palm oil. But while higher production is good for the companies that sell it, there is a risk that greater supply will push down prices.

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