Gapki warns of sharp production losses

Mandatory increase: A worker loads fresh oil palm fruit bunches at a cooperative plantation in Central Kalimantan. With Indonesia’s biodiesel blend rising to B50, Eddy says securing domestic palm oil supply remains the top priority. — Reuters

JAKARTA: The Indonesian Palm Oil Producers Association (Gapki) has projected that extreme El Nino could potentially reduce crude palm oil (CPO) output by up to five million tonnes.

Gapki chairman Eddy Martono said that the significant impact of a severe El Nino on palm oil production could be felt as early as next year.