El Nino to strike harder, but palm oil price not seen to soar


El Nino worries: A woman harvests coffee at a farm in Son La, northwest of Hanoi, Vietnam. With El-Nino back in a big way, Vietnamese coffee growers are staring nervously at dwindling reservoirs. – Reuters

THE strongest El Nino in decades is expected to mess up everything – people, birds, crops, fish – and for Malaysia, a major impact will be reduction in palm oil output which will drive prices higher.

However, this time round, crude palm oil (CPO) price may be on a mild uptrend as demand expectation may limit the upside, said Danny Wong, CEO, Areca Capital, adding that the previous round of El Nino had pushed the CPO price to as high as RM3,000 per tonne.

Save 30% OFF The Star Digital Access

Monthly Plan

RM 13.90/month

RM 9.73/month

Billed as RM 9.73 for the 1st month, RM 13.90 thereafter.

Best Value

Annual Plan

RM 12.33/month

RM 8.63/month

Billed as RM 103.60 for the 1st year, RM 148 thereafter.

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

Next In Business News

Britain's FTSE-100 index hits 10,000 mark for first time
Bursa Malaysia derivatives hit annual volume high for 2nd consecutive year
PUNB appoints Rastam Mohd Isa as new chairman
Hong Kong stocks start 2026 strong on tech rally
Bursa Malaysia ends morning sessions lower
Kenanga IB maintains 2025 growth forecast at 4.8%
Pekat subsidiary bags RM113.31mil TNB contract
Singapore economy grows 5.7% in 4Q25
Chin Hin Group Property enters 2026 with RM2.3bil unbilled sales
Asia's factories end 2025 on firmer footing as orders pick up

Others Also Read