PALMOILMAGAZINE, SINGAPORE – On Tuesday (25/7/2023), the price of crude palm oil (CPO) at the Bursa Malaysia Derivatives Exchange experienced a decline as many traders decided to take profits after it had previously reached its highest level in the past four and a half months. The drop in price was also influenced by the attack on vegetable oil seed barns in Ukraine by Russia.
According to Reuters, the CPO price contract reference with the code FCPOc3 for October 2023 delivery at the Bursa Malaysia Derivatives Exchange decreased by RM 22 or approximately 0.53% to reach RM 4,142 (US$ 906.94) at midday.
It once increased about 3,2% in the previous session, It hit the highest level since on 10 March.
Prior Russia attacked vegetable oil seed – barns in Ukraine next to Danube River within drone on Monday. The target was vital export route to Kyiv. The attack got expansion that started from Moscow last week after seed agreement stopped in Black Sea.
Meanwhile, Sathia Varqa of Fast Markets Palm Oil Analytics said, the traders might tend to get profits after CPO got more expensive. As the result, CPO trade got decreasing.
Also Read : Malaysian CPO Price Declines in Response to Lower Vegetable Oil Prices
Still from Reuters, soyoil contract at Dalian with the code DBYcv1 increased 1,62%, CPO contract with the code DCPcv1 did increase 2,36%. Soyoil price at Chicago Board of Trade BOcv1 decreased 0,53%.
In Indonesia DMO palm cooking oil for people in July could not realize the target. The reason is many producers still have many export rights, as the noted in the coordination meeting about palm cooking oil for people in Badan Pangan Nasional as what Palmoilmagazine.com got Monday, (24/7/2023). “Realization estimation of DMO in July 2023 could be about 60% – 70% of DMO target.
The realization of palm cooking oil DMO by 23 July 2023 reached 145.532 tons or 48,51% of the total DMO. or about 200.000 tons. (T2)
