Palm Oil Wraps Up Week on Subdued Tone

Malaysian palm oil futures edged higher, hovering near MYR 4,450 per tonne and reversing losses from the previous session. Support came from a weaker ringgit and gains in rival soyoil on the Dalian and Chicago exchanges. Meanwhile, the Malaysian Palm Oil Board announced that the October crude palm oil reference price will keep the export duty at 10%. On the demand side, purchases from top buyer India are expected to remain firm ahead of the mid-October festive season. In August, India’s palm oil imports jumped 15.8% to 990,528 tonnes, the highest in over a year, as attractive pricing versus soyoil encouraged refiners to stock up. An industry association in India projected imports above 800,000 tonnes this month. For exports, cargo surveyor Intertek Testing Services reported a 2.6% rise in Malaysian palm oil shipments during the first half of September, while AmSpec Agri Malaysia noted a 0.1% decline. For the week, contracts were little changed, staying subdued amid recent holidays.