# Malaysia's palm oil producers adjust to labour shortages, higher recruitment costs | Reuters

> Malaysian plantation owners are finding it harder and more expensive to recruit workers as they try to repair the country's reputation after accusations of forced labour. Bans on some producers remain in effect, and the U.S. downgraded Malaysia to its labour watch list in July. Companies have invested millions of ringgit in recruitment processes and worker housing.

- Date: 2021-12-09 · published 2021-12-09T12:00:00.000Z
- Category: trade · region Malaysia · magnitude medium
- Page: https://feedsoft.ai/events/15856-malaysia-s-palm-oil-producers-adjust-to-labour-shortages-higher-recruitment
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

Higher labour costs and recruitment constraints can limit palm oil output and raise production costs, supporting palm oil prices. Ongoing forced-labour import restrictions also add trade risk for Malaysian palm oil.

## Read by commodity

- PALMOIL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2021-09-08 | [India’s refiners seen to favour palm oil imports from Malaysia \| Malay Mail](https://feedsoft.ai/events/44945-india-s-refiners-seen-to-favour-palm-oil-imports-from-malaysia-malay-mail.md) | -1.0% | +7.4% |
| PALMOIL | 2020-05-08 | [Laman Web Rasmi KPK - PALM OIL: Malaysia's CPO price may stay higher if export to India is maintained](https://feedsoft.ai/events/6047-laman-web-rasmi-kpk-palm-oil-malaysia-s-cpo-price-may-stay-higher-if-export-to.md) | +2.8% | +21.2% |
| PALMOIL | 2019-01-01 | [Malaysian palm oil futures open higher after India import tax cut \| The Star](https://feedsoft.ai/events/5586-malaysian-palm-oil-futures-open-higher-after-india-import-tax-cut-the-star.md) | +6.1% | +8.1% |
| PALMOIL | 2021-07-01 | [India’s lower import duty a boon to Malaysia’s palm oil](https://feedsoft.ai/events/45940-india-s-lower-import-duty-a-boon-to-malaysia-s-palm-oil.md) | +1.7% | +9.8% |
| PALMOIL | 2020-09-20 | [Indonesia’s palm oil exports rise on higher shipments to China \| Air Freight News](https://feedsoft.ai/events/51202-indonesia-s-palm-oil-exports-rise-on-higher-shipments-to-china-air-freight-news.md) | -3.1% | -2.9% |

## Sources

- reuters.com: https://www.reuters.com/markets/commodities/malaysias-palm-oil-producers-adjust-labour-shortages-higher-recruitment-costs-2021-12-09/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.
