CPO price rally may be short-lived

Hanging tough: Despite the narrowing of CPO price discount to soybean, CPO has been holding firm in the past months, which is a phenomenon

PETALING JAYA: The dramatic narrowing of crude palm oil (CPO) price discount to its competitors – soybean and rapeseed oils – can hamper the steady increase in the price of the local commodity, currently trading above RM2,700 per tonne, from touching the targeted RM3,000 per tonne mark this year.

The traditional CPO price discount to soybean oil has been at about US$150 to US$200 per tonne range, said industry expert MR Chandran.