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CPO Price at Malaysia Exchange Increased RM 35 per Ton on Thursday (12/10)

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CPO Price at Malaysia Exchange Increased RM 35 per Ton on Thursday (12/10)

InfoSAWT, MUMBAI – Crude palm oil (CPO) contract price at Malaysia Derivatives Exchange increased on Thursday (12/10/2023), after Indonesia as the main palm oil producer confirmed that export activity is not the obligation through exchange.

As quoted from Reuters, CPO reference price contract with the code FCPOc3 for December 2023 delivery at Malaysia Derivatives Exchange increased RM 35 per ton or about 0,99% to be RM 3,586 (US$ 759,42) per metric ton in the early session.

The Government of Indonesia would launch CPO exchange on Friday (13/10/2023) but it is not the obligation to get trade through the exchange, as quoted from Reuters.

Research Chief of Sunvin Group, a vegetable oil broker company in Mumbai, Anilkumar Bagani said that to anticipate new regulation in Indonesia that would oblige export activity through the exchange, the traders in Indonesia were in a rush to clean up the supply. “But the trade seems not to be aggressive and it would support the (increasing) price,” he said.

The cheap and abundant supplies of sunflower oil from Russia and Ukraine delivered pressure on palm oil because the two main producer countries took advantages on currency depression to get bigger vegetable oil markets.

Still from Reuters, soyoil at Chicago Board of Trade BOc2 decreased 0,74%, at 0306 Greenwich Mean Time (GMT).

Cargo surveyor noted that palm oil export from Malaysia on 1 - 10 October increased 12,5 % to be 29,6% from the previous month. (T2)