Low prices and low productivity affects palm farmers

The international price of crude oil from palm trees, has had a sudden drop from $ 1,240 per ton, to $ 717, ie, 42% less. In addition, the local domestic price has also suffered similar variations due to the cold weather and low light in palm plantations.

William Quevedo, oil palm producer in Esmeraldas, and representative of 6,000 producers, asked the government for intervention in the matter, and requested a competitiveness plan to raise the average production of 11 tonnes per hectare to 20 tonnes.Furthermore, Quevedo asked for agreements that will ensure a fair distribution of profits between the cost of raw materials and industrial products made from oils and fats, as well as the possibility of resuming the draft project on Biofuels, in order to add value to the palm production.

According to the Danec firm, in 2011 and 2012 the international price of oil reached $ 1,240 per ton. Currently the international price is at $ 717 and locally at $ 780; the fruit has a cost of $ 150 per ton.

African Palm Tree production in Ecuador is very important for its economy.