CÔTE D’IVOIRE – Dekel Agri-Vision PLC, a United Kingdom-based agro-industrial company with subsidiaries in Côte d’Ivoire, has announced that crude palm oil and palm kernel production soared in August linked to the good performance of its Ayenouan project.
From the update, the company said its financial outcomes for August were significantly robust when compared to the results from August last year adding that the company also is enjoying a 6th consecutive month of increase in CPO production.
According August production update, the West Africa-focused agricultural company said crude palm oil production at its Ayenouan palm oil project was 38% higher at 1,416 tonnes from 1,024 tonnes a year prior, while CPO sales were up 56% to 1,786 tonnes from 1,148.
“The Palm Oil Operation delivered a 6th consecutive month of stronger like-for-like production in August 2023 compared to August 2022 recording increases in Crude Palm Oil (‘CPO’) and Palm Kernel Oil (‘PKO’) production of 38.3% and 103.3% respectively, Executive Director Lincoln Moore said.
For Dekel Agri-Vision, the increase in shipped volumes helped offset the drop in average CPO prices on the international market. A tonne of the raw material thus traded around 822 euros (US$881) in August compared to 1,030 euros (US$1,100) in July.
Consequently, Palm kernel oil production tripled to 185 tonnes in August from 90 during the same month the year before. PKO sales multiplied to 815 tonnes from 67 a year ago.
The company reports that the surge reflects the “unwinding of higher-than-normal inventory numbers at the end of [the first half of 2023] resulting from the strong late peak to the recent production high season,” Dekel Agri-Vision said.
“Together with strong CPO and PKO sales volumes, the palm oil operation monthly financial performance during [the second half of 2023] continues to track well ahead of [the second half of 2022],” Lincoln Moore added.
According to the company, the cumulative production in the year is well in line with its expectations for the full year, giving them a good degree of confidence for the full-year financial performance in the palm oil business.
Shares in Dekel Agri-Vision were up 3.7% at 3.11 pence each in London on Friday, 9 September.