Palm Oil May Touch 4,400 Ringgit on Tight Supplies, Mistry Says
- Futures seen supported by Indonesia’s move to raise export tax
- Palm oil production in Malaysia may recover only after Ramadan
Workers load palm oil fruits at a plantation in the Nagan Raya district in Aceh province, Indonesia.
Photographer: Chaideer Mahyuddin/AFP/Getty Images
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Palm oil futures will stay strong at least until March on an increase in export levies by top grower Indonesia, with supplies seen tight during the first two months of 2022, according to veteran trader Dorab Mistry.
The most-used vegetable oil is expected to trade between 4,000 ringgit ($955) to 4,400 ringgit per ton during the October-February period, before slightly dropping in March, Mistry, director at Godrej International Ltd., said at the Globoil conference on Saturday. Futures have averaged 3,908 ringgit so far this year, according to data compiled by Bloomberg.