[Back]   [Comments]  [Print]

NEWS ADMIN

Mahamad Rodzi Abdul Ghani

DATE

11/11/2002

NEWS PROVIDER

Mahamad Rodzi Abdul Ghani

NEWS SOURCE

NULL

CATEGORY

HEADLINE

MALAYSIA STUDIES BRAZIL PALM OIL INVESTMENT
RIO DE JANEIRO, Brazil, Nov 5 (Reuters) - Malaysia, the world's biggestpalm oil producer and exporter, is considering investing in the expansionof Brazil's palm oil industry, a Malaysian palm oil official said.Malaysia's Latin American Palm Oil Council representative IderlonAzevedo was quoted on Tuesday in Brazil's financial daily Gazeta Mercantilsaying that the investment could be similar to $100 million Malaysiainvested in Venezuala."The intention to expand Malaysian palm oil production in Brazil isclear, but the volatility of the dollar is blocking progress," Azevedosaid.Brazil's real currency depreciated about 40 percent against the dollarthis year on investor fears of a leftist victory in presidential electionson October 27.But since Workers' Party leader Luiz Inacio Lula da Silva's resoundingvictory with 61 percent of the vote, the real has regained some lostground.Azevedo estimated that Brazil produced 100,000 tonnes of palm oil butconsumed 170,000 tonnes annually, resulting in a deficit of 70,000 tonnes.Brazilian palm oil consumption needed to grow to 250,000 tonnesannually to make the Malaysian investment attractive, he said after avisit by Malaysian palm oil experts between Octobr 23 and November 2.