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Post adjusted the Marketing Year (MY) 2020/21 crude palm oil (CPO) production forecast down by 8,000 tons to 18.7 million tons. COVID-19 has caused acute labor shortages as the Government of Malaysia (GOM) halted the intake of new foreign workers indefinitely, while allowing foreign workers with expired work permits to return home, thus exaggerating the labor issues.
A replanting program will allocate $22.7 million to replant 83,000 ha of old palm oil estates for a three month period starting October 1 to December 31, 2015.