Frenzy in plantation deals on back of palm oil rally

“Sellers are bringing down prices to more reasonable levels because they see the challenges of labour shortages, forced labour allegations, and sustainability issues, ” said CGS-CIMB head of research Ivy Ng.(pic)

KUALA LUMPUR: A blistering palm oil rally is stoking a flurry of plantation deals as growers brace for stiffer challenges from environmental and labour risks.

Higher prices of the tropical oil over the past year created a profit windfall for the industry, making the time ripe for cash-rich planters to snap up plantation assets.