We believe the main risk to our earnings forecasts and rating for Golden Agri is
if the palm oil price falls. Palm oil price can be affected by a wide variety of
factors, including weather, trade policies, currency movements, the price of
substitute vegetable oils and even crude oil. In the long term, palm oil price may
also be affected by consumer preferences and environmental NGOs.
Increasingly, investors will also have to consider regulatory risk in the form of
export limitations and taxes.