Upside support for CPO prices

UOBKH Research expects that even with a mild case, the productivity of oil palm trees will be impacted since some oil palm trees have not been well taken care of over the last three years.

KUALA LUMPUR: The plantations sector could be poised for an upcycle should the El Nino weather phenomenon play out as expected.

This may provide support to the upside for crude palm oil (CPO) prices and may benefit upstream plantation players the most, according to UOB Kay Hian (UOBKH) Research.