Traders from Malaysia said that palm oil futures closed higher on Monday, boosted by news that in current season Malaysia may allow local companies to export crude palm oil (CPO) duty free. The benchmark third position October futures contract ended up 21 ringget at 1,043 ringget ($274.47) a tonne. The duty news lifted the market sentiments and prices as the latest crop estimates by one of the forecaster. Primary industry source said that the country considering the removal of duties on CPO exports. Malaysia may allow more than four exporters this year to export CPO without duty, as reported. Malaysia’s palm oil output was estimated to have risen three percent to 843,000 tonnes in July from 817,613 in June. New stocks will enter the market at the end of July at 1.1-m tonnes against 1m at end-June, the forecaster earlier projected July production at 880,000-885,000 tonnes and end-July stocks at 1.1m tonnes. August (south) crude palm oil was offered at 1,030 ringgit a tonne against bids of 1,025. It traded from 1,010 to 1,025. Among refined products, August RBD palm oil was offered at $285 a tonne FOB, September at $290 and October/November/December at $300. There were offers for August RBD palm olein at $310 and October/November/December at $320. August/September RBD palm stearin was offered at $232.50 and August/September palm fatty acid distillate at $192.50 as released. |
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