Malaysian palm oil price hits 4-1/2 month low as Malaysia raises export tax

Plantations on Sumatra island and the Indonesian part of Borneo have expanded in recent years as demand for palm oil has skyrocketed, resulting in the destruction of vast tracks of jungle. - AFP/File

KUALA LUMPUR: Malaysian palm oil futures extended losses into an eighth straight session on Wednesday and hit a four-and-a-half month low, pressured by declining rival oils and the announcement of an increase in crude palm oil export tax.

    Benchmark palm oil futures for August delivery on the Bursa Malaysia Derivatives Exchange were down 0.5 percent at 2,468 ringgit ($602) per tonne in the evening. Earlier in the day, the contract hit its weakest level since Jan. 29 at 2,437 ringgit.