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

Gadang sells Selangor land for RM2.5mil
Stocks rise, dollar wilts as investors strap in for Fed rate cut
Quality Concrete subsidiary bags RM294.59mil contract for Mukah water supply system
Hartanah Kenyalang bags RM42.79mil construction contract in Sarawak
Bank Negara's international reserves at US$124.1bil as at Nov 28
Capital A expect to exit PN17 status by year-end
Felda proposes establishing national taskforce to develop oil palm carbon framework
Bursa Malaysia remains lower at midday, KLCI down 0.54%
Geohan secures RM59mil contracts for Penang LRT project
MUI Properties to buy Ijok land for RM605mil

Others Also Read