CPO export tax suspension eases pressure on stockpile

The benchmark palm oil contract for January delivery on the Bursa Malaysia Derivatives Exchange was down 0.4 percent at 2,809 ringgit ($668.01) a tonne at the close of trade, snapping two earlier sessions of gains. It rose earlier in the session to 2,837 ringgit, its strongest since Nov. 2.

PETALING JAYA: Malaysia’s high palm oil stockpile level has finally come off from its recent record, thanks to the Government’s temporary suspension on crude palm oil (CPO) export taxes effective Jan 8 which boosted exports, say analysts.

End-January 2018 palm oil stocks declined for the first time in seven months to 2.55 million tonnes, while exports rose to 1.51 million tonnes on higher demand from India and Pakistan.