Frequently Asked Question
Under the Malaysian Palm Oil Board Act 1998, Malaysian Palm Oil Board (Registration of Contracts) Regulations 2005:
Registration of Contract
3. (1) Every licensee shall register every contract of oil palm products other than a contract of palm oleochemicals entered into by him, with the Board by means of telex, facsimile, electronic mail or telephone before 3.00 p.m. on the working day following which day such contract is made or executed, whichever is earlier, and before 11.00 a.m. if that working day falls on a Thursday for states which have Friday as the weekend holiday or Saturday for states which have Sunday as the weekend holiday.
(6) Any person who fails to comply with this regulation commits an offence and shall be liable on conviction to a fine not exceeding one hundred thousand ringgit or to imprisonment for a term not exceeding two years or to both.
The average price released by MPOB is in bulk delivery, based on the following price basis:
- Local Delivered (for the local market)
- Crude Palm Oil (CPO), Crude palm Kernel Oil (CPKO), RBD Palm Oil, RBD Palm Olein, RBD Palm Stearin, Palm Fatty Acid Distillate (PFAD) & Palm Kernel Expeller (PKE)
- Ex-Mill (for the local market)
- Fresh Fruit Bunches (FFB) & Palm Kernel (PK)
- FOB (for the export market)
- RBD Palm Oil, RBD Palm Olein, RBD Palm Stearin, PFAD, RBD Palm Kernel Oil, RBD Palm Kernel Olein, RBD Palm Kernel Stearin & PKE
- The average price released by MPOB is based on the weighted average method where the total value of transactions is divided by the total quantity of transactions reported by the industry. This is to ensure that the average price released by MPOB is more accurate than the simple average method.
- Therefore, the price released by MPOB is not the price set by MPOB. It is only a price guide or reference (bench-marking) for industry players in doing their daily business transactions and not compulsory to follow. Thus, MPOB shall not be liable for any loss or damage caused by the usage of any information obtained from the MPOB website