Indonesia's March palm oil output likely to fall

The output of palm oil from Indonesia, the world's top producer, likely fell slightly in March, while exports were expected to be a bit higher, a Reuters survey showed on Thursday. Indonesia is forecast to have produced 3.34 million tonnes of palm oil in March, down from 3.49 million tonnes in February, according to the median of a survey of two industry groups and a state palm oil research firm.
Exports of the vegetable oil, meanwhile, likely rose to 2.50 million tonnes from 2.48 million tonnes in February. The Indonesia Palm Oil Association (GAPKI) reported last week that the country shipped 2.37 million tonnes of palm oil in February. Its data for March is not yet available. Meanwhile, the survey showed that the domestic use of palm oil likely fell to 973,000 tonnes in March, from nearly 1 million tonnes a month earlier. Respondents also expected the local inventory of palm oil at the end of March stood at 3.53 million tonnes, the same as in February. GAPKI said last week palm oil stocks were at 3.50 million tonnes at the end of February.