In this regard, since February of 2017. the government decided to raise export duty tax to $18 per ton compared to $3 per ton in January to a peak in August 2015.

The decline in inventories contributed to growth in domestic demand amid a decline in production (and 2.8% for the year to 34.6 million tons). The consumption for the year increased by 36% to 11.3 million tons, according to the Association.

According to traders, reducing inventories in Indonesia will provide support to price Asian palm oil. Thus, for the week, export price of Malaysian palm oil has appreciated by 1.32% to $ 770./ton.

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