Malaysia to begin oil palm replanting scheme to cut down palm oil stocks

In Malaysia, the government plans to tackle the problem of oversupplies that are weighing on palm oil prices by encouraging the destruction of old trees and replanting with newer ones, a program set to begin in October. The move is part of a price stabilization program agreed with Indonesia that also includes the increased blend of palm oil biodiesel in the two countries. In July, Malaysia’s palm oil stocks reached a whopping 2.27 million metric tons.