Malaysian palm oil price up on expectation of better export data

Indonesian authorities plan to challenge the duties and will coordinate their response with the companies and the Indonesian biodiesel association, a senior Indonesian trade official told Reuters. "The companies are now working to rebut the proposed calculations of the EU for which the deadline is this Friday," said Pradnyawati, director of trade security at Indonesia's Trade Ministry.

KUALA LUMPUR: Malaysian palm oil futures jumped more than 1% on Wednesday as traders bet upcoming export data would overshoot forecasts.

The benchmark palm oil contract for September delivery on the Bursa Malaysia Derivatives Exchange was up 1.2% at 2,047 ringgit ($491) per tonne at the close.

Cargo surveyors and an independent inspection company had over Saturday and Monday reported more than 15% falls in exports for the June 1-15 period.

"The export rumour for June 1-20 period shows better numbers than in the earlier period," a futures trader based in Kuala Lumpur said.

Malaysia's Southern Peninsular Palm Oil Millers Association reported a 26.4% drop in production on Monday which also helped boost prices.

In other related oils, the Chicago July soybean oil contract was last up 0.5%.

The September soyoil contract on the Dalian Commodity Exchange fell 1.2% and the Dalian September palm oil contract was also down 0.2%.

Palm oil prices are affected by movements in related edible oils, with which it competes for global market share. - Reuters