Shortage of stock may boost CPO prices

Rare phenomenon: CPO has traded on par with soybean oil briefly during the period of acute shortage of CPO in the market.

PETALING JAYA: MIDF Research sees the price crude palm oil (CPO) rising to RM3,000 a tonne over the next three months, driven by temporary “acute” supply shortage in the market.

At that price level, CPO price would be a parity with its main rival soybean oil. The benchmark CPO futures price on Bursa Derivatives jumped 1.2% to RM2,537 a tonne yesterday.