Indonesian palm oil stocks set for record highs

Indonesian palm oil stocks are to hit record highs, US officials said, highlighting scepticism over plans to boost demand from biodiesel plants, and warning of "downward pressure" on prices of the vegetable oil.

Palm oil inventories in Indonesia, the top producer of the vegetable oil, will jump by 63% over 2015-16, which starts in October, to hit 3.574m tonnes, the US Department of Agriculture's bureau in Jakarta said.

The forecast reflects an expectation of continued growth in Indonesian output, seen growing by 2.0m tonnes to a record 35.0m tonnes.»