24/06/2025

BIZ & FINANCE TUESDAY | JUNE 24, 2025

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India’s soyoil imports hit four-month low on port congestion MUMBAI: India’s soyoil imports in June are likely to fall by 18% from a month ago to the lowest level in four months, as congestion at a key port will lead to unloading vessels into July instead of June, industry officials told Reuters. The world’s biggest importer of vegetable oils fulfils nearly two-thirds of its edible oil requirement through imports, and delays in unloading vessels could create a shortage in the local market and lift prices. June soyoil imports are likely to fall to 325,000 metric tons, down from the earlier estimate of 400,000 tons, as congestion at Kandla port means a few vessels will now be unloaded in July instead of June, said Rajesh Patel, managing partner at GGN Research, an edible oil trader. Kandla port in the western state of Gujarat accounts for a quarter of the country’s total vegetable oil imports, as many nearby edible oil refineries prefer this port for their imports. “Currently, edible oil vessels face waiting periods of 9-10 days. Based on the lineup of incoming vessels, this could escalate to 15-20 days,” said B.V. Mehta, the executive director of the Solvent Extractors’ Association of India (SEA). The delays lead to heavy demurrage costs, which in turn increase overall import costs and drive up edible oil prices for consumers, Mehta said.

The congestion at Kandla is also affecting palm oil imports, but the impact on its supplies will be minimal as a large quantity is being discharged at ports in eastern India, said a New Delhi-based trader with a global trade house. India buys palm oil mainly from Indonesia and Malaysia, while it imports soyoil and sunflower oil from Argentina, Brazil, Russia and Ukraine. – Reuters Indonesia weather agency expects shorter dry season JAKARTA: Most areas in Indonesia will see a shorter-than-expected dry season this year due to higher-than-normal precipitation thus far, the weather agency said, which is expected to boost the rice crop in Southeast Asia’s largest economy. Indonesia’s Meteorology and Geophysics agency previously predicted a normal dry season this year, beginning in April in most areas, reaching its peak in June until August. “Our prediction shows that there was an anomaly of higher-than-normal precipitation... this becomes the main basis to predict the delayed dry season this year,” the agency’s head Dwikorita Karnawati said in a statement. The longer wet season is expected to benefit rice farmers because water supply would remain available, Dwikorita said, adding that, as of early June, only 19% of the archipelago has seen the dry season begin. Indonesia’s rice output in the January to July period is estimated to rise by 14.93% annually to 21.76 million metric tons, the statistics bureau said. Indonesia targeted rice output to reach 32 million tons this year, higher than last year’s at 30.62 million tons. Higher-than-normal rainfall is expected in the southern part of Sumatra island, Java island, Bali, East Nusa Tenggara and West Nusa Tenggara provinces, Dwikorita said. Some parts of Sumatra island and provinces in Borneo island would be the first to face the dry season, she added. The agency urged all stakeholders, including local government, to plan for uncertain climate patterns due to climate change. – Reuters New Zealand’s ‘golden visa’ scheme lures US investors SYDNEY: New Zealand said yesterday there has been a rush in applications for its new foreign investor migrant visa as the government looks to lure more high net-worth individuals to the country to stimulate economic growth. The government in April relaxed rules for the visa, including lowering the minimum required funds for the category that focuses on higher-risk investments to NZ$5 million (RM12.9 million) from NZ$15 million, and removing the English language requirement. “(There has been) a flood of formal interest in the new ‘golden’ visa,” Immigration Minister Erica Stanford said. “New applications under the scheme represent a potential NZ$845 million of new investment in New Zealand business.” In a statement, Stanford said the government had received 189 applications in less than three months for the Active Investor Plus visa, compared with 116 submissions over more than two-and-a-half years under the previous settings. Eighty-five of those applications, or just under half of the total, were submitted by US citizens, followed by China with 26 and Hong Kong with 24. The island country’s economy grew faster-than-expected in the first quarter, official data showed last week, providing some relief for policymakers keen to put the economy back on a solid footing after it sank into technical recession last year. – Reuters

S’pore May core inflation rises 0.6% on annual basis

Singapore’s growth outlook has already dimmed due to economic uncertainties from US tariffs. In April, the central bank loosened monetary policy for the second time this year and lowered forecasts for both core and headline inflation to 0.5%-1.5%. The median forecasts for headline inflation and core inflation for 2025 were lowered to 0.9% and 0.8%, according to a quarterly survey of forecasters by the central bank in June. In the same survey, almost three in five respondents expect further monetary policy easing at a review next month. Singapore has also downgraded its GDP forecast for 2025 to 0%-2% growth, with officials saying the city-state faces a risk of recession and job losses. – Reuters

It was the fifth consecutive month where the annual core rate was below 1%. DBS senior economist Chua Han Teng said that while inflation has remained subdued in 2025, he is monitoring upside risks from the conflict in the Middle East. “Escalating tensions in the Middle East raise concerns about disruptions to global oil supplies, which could further drive up global crude oil prices, consequently increasing Singapore’s energy import prices, as well as electricity and travel-related costs,” he said. While Iran has yet to retaliate against US attacks on its nuclear sites over the weekend, analysts remain concerned that it could choose to disrupt shipping through the Strait of Hormuz, affecting around a quarter of the world’s oil supplies and 20% of its liquefied natural gas.

SINGAPORE: Singapore’s key consumer price gauge rose 0.6% in May from a year earlier, official data showed yesterday, matching forecasts by economists. The core inflation rate, which excludes private road transport and accommodation costs, was in line with a forecast rate of 0.6% in a Reuters poll of economists. Headline inflation was 0.8% in annual terms in May, also matching the median poll forecast of 0.8%. o Forecasters expect further monetary policy easing at review next month

A man jogs along the promenade near the financial business district in Singapore. – AFPPIC

China refrigeration parts firm drops in Hong Kong debut HONG KONG: A Chinese refrigeration parts manufacturer that raised US$1.2 billion (RM5.1 billion) for a Hong Kong listing saw shares dip after it started trading yesterday. giant CATL and drug developer Jiangsu Hengrui this year.

is the world’s largest maker of refrigeration and air-conditioning control components, with 48 factories worldwide. The firm listed automakers including Volkswagen, BYD and Mercedes-Benz as partners, and was previously reported to be a supplier of thermal management parts for Tesla. – AFP

Sanhua shares were sold at the high end of their marketed range, at HK$22.53, but slipped more than 7% to HK$20.95 at the start of trading yesterday. The company reported 27.9 billion yuan (RM16.7 billion) in revenue last year and said it

The debut of Zhejiang Sanhua Intelligent Controls is seen as part of Hong Kong’s resurgence as an initial public offerings hub, following stock flotations by Chinese battery