# China palm oil deal unlikely to bump up CPO prices

> China plans to buy an additional 1.9 million tonnes of palm oil from Malaysia over five years, about 400,000 tonnes per year. Industry consultant MR Chandran said the purchases are unlikely to lift crude palm oil prices given high global inventories. He noted China may simply shift volume away from Indonesia.

- Date: 2019-04-29 · published 2019-04-29T12:00:00.000Z
- Category: trade · region China · magnitude low
- Page: https://feedsoft.ai/events/6146-china-palm-oil-deal-unlikely-to-bump-up-cpo-prices
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

The deal mainly reallocates existing Chinese import demand between Malaysia and Indonesia rather than adding net demand. With stocks elevated, the price impact is expected to be limited.

## Read by commodity

- PALMOIL: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2020-03-04 | [Will Crude Palm Oil Prices Flare-Up Again? - Geojit Financial Services Blog](https://feedsoft.ai/events/5817-will-crude-palm-oil-prices-flare-up-again-geojit-financial-services-blog.md) | -0.9% | -3.4% |
| PALMOIL | 2018-10-02 | [Palm Oil News - The Trade Run Well but Did not Make the CPO Price Better](https://feedsoft.ai/events/7624-palm-oil-news-the-trade-run-well-but-did-not-make-the-cpo-price-better.md) | +1.2% | +1.6% |
| PALMOIL | 2022-12-30 | [CPTPP expected to boost palm oil exports, says MPOB \| FMT](https://feedsoft.ai/events/38336-cptpp-expected-to-boost-palm-oil-exports-says-mpob-fmt.md) | +3.1% | +1.5% |
| PALMOIL | 2021-11-13 | [Palm Oil News - Malaysia Runs Cheaper CPO Export Tariff](https://feedsoft.ai/events/15866-palm-oil-news-malaysia-runs-cheaper-cpo-export-tariff.md) | +2.4% | -4.6% |
| PALMOIL | 2017-04-23 | [Indonesia, Malaysia expected to decide global CPO price - ANTARA News](https://feedsoft.ai/events/71607-indonesia-malaysia-expected-to-decide-global-cpo-price-antara-news.md) | -0.1% | +3.8% |

## Sources

- themalaysianreserve.com: https://themalaysianreserve.com/2019/04/29/china-palm-oil-deal-unlikely-to-bump-up-cpo-prices/

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