Malaysia Palm Oil Exports Drop as China, India Cut Imports, Intertek Says
Malaysia’s palm oil exports fell 13 percent in April from March as shipments to China, the Indian subcontinent and the Americas declined, independent market surveyor Intertek said.
A total of 1,178,159 metric tons were tracked from April 1 to April 30, compared with 1,353,207 tons in March, Intertek said in an e-mailed statement today.
Shipments to the Americas plunged 46 percent to 88,074 tons as the South American soybean harvest came onto the market, increasing alternative supplies. Soybean oil is a substitute for palm oil.
Shipments to China, the largest export destination, dropped 12 percent to 324,657 tons, while shipments to India and the subcontinent plunged 42 percent to 173,760 tons. EU countries imported 275,118 tons, 34 percent more than in March.
Palm oil futures in Malaysia, the benchmark, are poised to drop for a second month. The contract for July delivery gained for the first time in four days today, adding 0.4 percent to 2,540 ringgit ($796) a ton at the midday trading break, trimming this month’s loss to 0.6 percent.
The most-active contract declined 1.5 percent in March.