CPO gains 1.4% on production drop, strong exports

Higher biodiesel usage is an important factor behind improving CPO prices in 2016, as CPO is the main raw material for biodiesel.

KUALA LUMPUR: Malaysian palm oil rose 1.4 percent in the first-half session on Thursday, supported by data showing lower production and improved exports.

Benchmark palm oil futures for March delivery on the Bursa Malaysia Derivatives Exchange rose to 3,071 ringgit ($692.29) per tonne. Traded volumes were thin with 27,002 lots of 25 tonnes each changing hands.