PALMOILMAGAZINE, NEW DELHI – The Crude Palm Oil (CPO) contract price at the Malaysia Derivatives Exchange witnessed a rise on Wednesday, October 18, 2023.
This increase was attributed to several factors, including growing exports, rising demand from China, and an uptick in soyoil prices at the Chicago Board of Trade.
The CPO reference contract with the code FCPOc3 for delivery in January 2024 experienced a 1.03% increase, reaching RM 3,823 (equivalent to US$ 806.88) per metric ton during midday trading, as quoted from Reuters.
A dealer in New Delhi said that short – term export prospect would be good and China would increase its demands.
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Independent inspection company, AmSpec Agri Malaysia reported that palm oil exports from Malaysia on 1 – 15 October increased 5,6% from the previous month. Intertek Testing Services noted that the exports from Malaysia also increased 7,3%.
The Government of Malaysia questioned CPO export tax in November that would be 8% and minimize its reference price, as the official statement in the page of Malaysian Palm Oil Board, on Tuesday. Still from Reuters, soyoil at Chicago Board of Trade BOcv1 increased 0,3%.
Palm oil has something to do with other vegetable oil price because they compete to get part in vegetable oil trade globally. (T2)