Challenging outlook for palm oil market in 2018

Tough sector: Workers using palm fruit spears to remove bad bunches from a pile at the Bukit Senorang Palm Oil Mill, owned by United Malacca Bhd, in Pahang. United Malacca, one of 2017’s top 10 Malaysianpalm oilstock performers, is looking to drones, clones and planting other crops to overcome challenges from labour shortages to price volatility. — Bloomberg

PETALING JAYA: The outlook for palm oil in 2018 is deemed to be challenging.

Amid stiff market competition, the century-old plantation sector will continue to struggle with long-standing labour shortage, rising operating costs, dwindling demand in traditional export markets and increasing anti-palm oil campaigns in the West, say market analysts.