PLANTATION
[%jJGC%] [%hysc%] 
Research by RHB
Neutral

“Demand Drivers: Biodiesel Mandate And La Nina”

Top Picks remain a mix of pure and integrated planters – Sarawak Oil Palms (SOP), IOI Corp (IOI), and PP London Sumatra Indonesia (LSIP). PO inventory rose to 1.83m tonnes in June, due to lower exports but offset by lower production. We expect PO inventory to continuously increase, reaching the 2m tonne mark in the coming months. Main catalyst to look out for remains the La Nina – whose probability remains high, at 85% in 4Q24. Keep NEUTRAL.

Analyst(s):
Hoe Lee Leng
[%NbUV%]
Indonesia Research
[%jQvk%]
Singapore Research
[%PgYn%]

PLANTATION
$KLSE-SOP $KLSE-IOICORP 
Research by RHB
Neutral

“Demand Drivers: Biodiesel Mandate And La Nina”

Top Picks remain a mix of pure and integrated planters – Sarawak Oil Palms (SOP), IOI Corp (IOI), and PP London Sumatra Indonesia (LSIP). PO inventory rose to 1.83m tonnes in June, due to lower exports but offset by lower production. We expect PO inventory to continuously increase, reaching the 2m tonne mark in the coming months. Main catalyst to look out for remains the La Nina – whose probability remains high, at 85% in 4Q24. Keep NEUTRAL.

Analyst(s):
Hoe Lee Leng
hoe.lee.leng@rhbgroup.com
Indonesia Research
rhb.id.research@rhbgroup.com
Singapore Research
research.sg.equity@rhbgroup.com