Tight supply of palm oil seen to keep CPO prices up

Peaking: An oil palm plantation worker in action. With the low inventory level of palm oil and global edible oil supplies, the average CPO price recorded a new monthly high in March.

PETALING JAYA: Despite some anticipating a crude palm oil (CPO) price correction after recording a new monthly high last month, the tight supply of palm oil is likely to keep the commodity price elevated.

With the low inventory level of palm oil and global edible oil supplies, the average CPO price recorded a new monthly high in March, where prices rose 4% month-on-month (m-o-m) and 70% year-on-year (y-o-y) to RM4,042 per tonne.