Plantation firms riding high on strong CPO prices

THE solid earnings reported recently by leading local plantation companies largely reflect the buoyancy of the crude palm oil (CPO) market last year, when prices rose by an average of 50% to RM1,343 per tonne compared with the lacklustre average price of RM893 per tonne in 2001. 

Companies that have benefited enormously from last year's strong CPO prices include IOI Corporation Bhd, PPB Oil Palm Bhd and Golden Hope Plantations Bhd. All have reported strong earnings figures this week, beating the estimates of most industry analysts.