El Nino seen cutting Malaysia palm oil output by 2mil tonnes

The decline in production, its sharpest in at least seven years, could bring stronger rallies to benchmark palm oil prices , which have risen 5% in the last two weeks to a two-year high of RM2,726 (US$676) a tonne on Friday.

For the first half of calendar year 2016, Malaysian output is expected to decline by a million tonnes, Mistry said at the Thirteenth International Oils & Oilseeds Conference in Beijing.