In light of the recent announcement from Indonesia, that the country will implement a wider export ban on palm oil, AAK AB (publ.) would like to make the following statement.
In the shorter term, the company’s needs are covered. Should this become a more prolonged situation, it would become a problem for the global food supply chain, including AAK. But as Indonesia’s palm oil production far exceeds local demand, AAK does not believe that the situation will continue for a longer period of time.
AAK buys roughly 20 percent of its total oil volumes from Indonesia.
On May 19, 2022, Indonesia announced that the palm oil export ban will be lifted as of May 23, 2022.