23/09/2025

BIZ & FINANCE TUESDAY | SEPT 23, 2025

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August palm oil inventories highest since January 2024

growth is expected to slow sharply to 2.5 million tonnes in 2025/26, down from the 27-million tonne increase in 2024/25, as farmers in the US and Argentina shift acreage to more profitable crops. Current soybean prices of US$10.40 (RM43.78) per bushel on the Chicago Board of Trade are below the estimated US production cost of around US$11.03 per bushel, according to the American Soybean Association. Although global soybean production will still exceed consumption in 2026, the pace of stock accumulation is expected to slow significantly compared with the past three years, reducing downward pressure on soybean prices. Vegetable oil inventories in key importing countries have also rebounded. India’s vegetable oil stocks rose 41% to 1.86 million tonnes in August, up from 1.33 million tonnes in May. In China, vegetable oil inventories have been rising since May, reaching 2.4 million tonnes in August, 21% higher than a year earlier. Palm oil stocks in China stood at about 646,000 tonnes as of mid-September, equivalent to around three months of supply without imports. Palm oil production will enter its low season in November, with stocks expected to decline after peaking in October. Over the next few weeks, palm oil is projected to trade between RM4,200 and RM4,500 a tonne. The upside is capped by weak demand from key markets, while support comes from uncertainty in exportable supplies, mainly palm oil from Indonesia and soybean oil from the US and Brazil due to biodiesel policies. Additionally, crude oil prices have stabilised around US$60 per barrel, with potential for appreciation providing further support to vegetable oils.

o Council: Prices to trade between RM4,200 and RM4,500 over next few weeks Malaysia’s palm oil production rose 43,000 tonnes to 1.85 million tonnes in August (2.4% month-on-month), driven mainly by higher output in Sabah and Sarawak, which increased by 13,000 tonnes and 50,000 tonnes respectively. In contrast, production in Peninsular Malaysia began to decline after peaking in July. Exports in August were largely unchanged from July at 1.32 million tonnes. Shipments to the Asia-Pacific region, Sub-Saharan Africa, European Union-27, North Africa and the Middle East recorded month-on-month increases, while exports to the Americas and South Asia posted marginal declines. Malaysian Palm Oil Council (MPOC) in a statement yesterday said that with rising production and flat exports, palm oil inventories increased to 2.2 million tonnes in August, the highest level since January 2024. “Inventories are projected to rise slightly in September and October before easing in November, as production in Sabah and Sarawak has yet to reach its seasonal peak. Despite the recent increase in inventories, Malaysia’s palm oil stocks remain manageable, still well below the 2018 to 2019 levels of 2.5 to 2.7 million tonnes,” it added. Palm oil was the price leader in the vegetable PETALING JAYA: Nearly nine in 10 banks (88%) are already using predictive analytics to anticipate customer needs to some degree but only a tiny fraction (11%) described their hyper-personalisation strategies as highly advanced. This was revealed in an industry poll conducted by global analytics software leader Fico, which disclosed the challenges banks in the Asia-Pacific face in delivering real-time, tailored customer experiences. “Consumers now expect the same level of personalisation from their banks as they do from Netflix and Amazon,” Fico managing director in Asia-Pacific Dattu Kompella ( pic ) said, adding that with most banks still struggling to meet these expectations, those that succeed will gain a decisive edge in a market where customer experience is the ultimate differentiator. The poll highlights key barriers to achieving “segment of one” customer experiences. Almost three-quarters (72%) of respondents acknowledged their banks’ PETALING JAYA:

M’sian furniture firms secure RM205.8m sales at Index Saudi Arabia 2025 PETALING JAYA: Malaysia’s furniture and interior design sector secured RM205.83 million in sales, surpassing the RM200 million target at Index Saudi Arabia 2025. The strong performance at the premier trade event, held from Sept 9 to 11 at the Riyadh Front Exhibition and Conference Centre, underscores Malaysia’s growing influence in the Middle East. The total sales were driven by RM14.6 million in immediate sales and an outstanding RM191.2 million in potential sales. The delegation, led by Malaysia External Trade Development Corpo ration (Matrade), received 721 trade inquiries, signalling robust interest in Malaysian furniture. The timing is particularly strategic, allowing Malaysian companies to capitalise on the dynamic economic growth of Saudi Arabia, fuelled by ambitious initiatives such as Saudi Vision 2030 and preparations for the 2034 Fifa World Cup. “Our participation at Index Saudi Arabia 2025 has been a resounding success,” said Lifestyle and Sciences Section director and Malaysian delegation head Khairul Nizam Moonier ( pic ). He added that this is their second year at the exhibition, and the results clearly demonstrate its effectiveness in connecting Malaysian companies with key players in Saudi Arabia’s interior and furniture sector. The Malaysia Pavilion showcased 14 companies, with six exhibiting directly under Matrade. Key partners, including CTCS Worldwide Sdn Bhd (a subsidiary of the Malaysian Timber Industry Board) and the Malaysian Furniture Exporter, Manufacturer and Designer Association, also highlighted products from an additional eight companies. With Malaysia’s furniture exports to Saudi Arabia already experiencing strong growth, reaching RM119.7 million in the first seven months of 2025 (a 16.6% increase over the previous year, the positive outcomes from Index Saudi Arabia 2025 are a clear indicator of the market’s vast and untapped potential.

oil complex in the third quarter of 2025, rising 10.9% from the previous quarter. During the same period, sunflower oil prices increased 5.1% and soybean oil rose 3.8%, while rapeseed oil declined marginally by 0.7% after China imposed a 75.8% import duty on Canadian canola. Despite the mixed performance, sentiment across the broader vegetable oil market remained positive, with momentum expected to continue into the fourth quarter. Looking ahead, MPOC said consumption of the four major vegetable oils in 2026 is projected to outpace production growth, resulting in a modest supply deficit. Stronger soybean oil demand in the US and Brazil, driven by higher biodiesel mandates, is expected to tighten global soybean oil export availability. At the same time, the council said, Indonesia’s exportable palm oil could fall below potential if the government raises the biodiesel mandate to B50. These factors are likely to keep vegetable oil prices supported through the remainder of 2025. Global soybean production

Asia-Pacific banks struggling to meet customers’ personalisation expectatons: Fico survey

adoption is broad, maturity remains limited. Banks can only achieve hyper-personalisation by uni fying data and decisioning across the customer lifecycle. “Every interaction, whether it’s a declined offer, a payment pattern, or a service request, contains valuable insight,” said Kompella. “By consolidating activities, behaviours, and pre ferences into a single deci sioning platform, banks can act

communication channels remain siloed or only partially integrated, preventing seam less customer engagement. Meanwhile, automation adoption remains uneven. Half of the executives said their organisations had auto mated no more than half of their customer-facing deci sions, including credit appro vals, fraud alerts, and per sonalised offers, hindering personalisation efforts.

on insights in real-time, driving deeper engagement and loyalty. Fico Platform uses applied intelligence to harness these signals, enabling banks to anticipate customer needs and deliver the right action at the right moment.” The poll was conducted in November 2024 during Fico’s Platform Experience event in Singapore, capturing insights from more than 30 senior executives and C-suite leaders from leading banks across the Asia-Pacific.

The findings also revealed that banks’ use of real-time data and advanced analytics is still in its early stages. While 43% of executives said they leverage real-time data significantly or fully for customer insights in areas such as fraud detection and service, most remain at minimal or moderate adoption. Similarly, just 37% reported extensively or fully predictive use of analytics, underscoring that while

Foreign investors extend net buying on Bursa with RM492 million KUALA LUMPUR: Foreign investors continued to be net buyers on Bursa Malaysia for the second consecutive week, with a net inflow of RM492.1 million, according to MBSB Investment Bank Bhd (MBSB IB). two out of three trading days last week, with Wednesday seeing the highest net buying activity at RM348.69 million, followed by Friday (RM205.30 million), while the only outflow occurred on Tuesday (-RM61.9 million). products and services (RM126.9 million) and technology (RM117.1 million). “The only two sectors that recorded net foreign outflows were financial services (RM154.7 million), and healthcare (RM38.1 million),” it said in its weekly Fund Flow Report for the week ended Sept 19.

sellers, with outflows totalling RM337.6 million and RM159.5 million, respectively. “Meanwhile, the average daily trading volume (ADTV) increased across all investor groups last week. Foreign investors posted a sharp increase of 88.3%, while retail investors and local institutions recorded expansions of 21.2% and 19.0%, respectively,” it added. – Bernama

MBSB IB noted that it was a short trading week as the market was closed on Monday and Tuesday in conjunction with Malaysia Day. It said foreign investors were net buyers on

“The top three sectors that recorded net foreign inflows last week were transportation and logistics (RM131.8 million), industrial

The investment bank added that local institutions and local retailers remained as net