InfoSAWIT, Kuala Lumpur – Crude palm oil (CPO) purchase in Malaysia Derivatives Exchange increased 3% on last Monday for the increasing CPO price in Dalian Exchange and so did soybean. The vegetable oil exports in July 2020 were the factors to make the price more expensive.
As quoted from IndiaTimes, the CPO contract for October 2020 delivery in Malaysia Derivatives Exchange increasedto be RM 2.759/ton (US$ 651,48/ton). This is the third time in a row to increase.
The future contract did increase 16,5% in July, and the biggest one since in a month September 2015.
The CPO exports from Malaysia in July increased 5,8% from June, referring to the Intertek Testing Services on last Friday.
The soybean contract was the most active purchase in Dalian Exchange and increased 2,49%, while the CPO contract increased 3,47%. The soybean price in Chicago Board of Trade also increased 0,94%.
The CPO price was influenced by the fluctuation of other kinds of vegetable oil and competed to get part of vegetable oil markets globally, including the impact of the plan from government of Indonesia to increase the CPO mixture to diesel up to 40% of famously known as B40. It is predicted that this would run in schedule within the implementation target in July 2021. (T2)