Plantation sector may be at end of upcycle, say analysts

THE plantations sector, which has benefited enormously from the surge in the price of crude palm oil (CPO) since late 2001, may be seeing the end of its upcycle, according to industry analysts. 

Since touching a 10-year low of RM662.50 per tonne in February 2001, CPO prices had risen to a high of RM1,704 in December last year. Most analysts say that as CPO prices tend to move in three- to four-year cycles, the downtrend in the prices since the beginning of this year could signal the start of a new bearish phase.