Fitch Ratings: CPO price may drop by nearly a quarter on high supply

Fitch Ratings said the edible oil market sees risk of a large drop in palm oil output due to the ongoing El Nino climate pattern.

PETALING JAYA: The crude palm oil (CPO) price could fall by nearly a quarter in 2024 due to higher supply.

In a report, Fitch Ratings forecast Malaysia’s benchmark CPO spot prices to average US$650 (RM3,024) per tonne in 2024, substantially lower than around US$840 (RM3,908) per tonne in 2023.