17/09/2008 (Reuters) - Pakistan, the world's fourth largest importer of vegetable oils, has yet to cover its palm oil needs for the October-December period, due to recent global commodity market volatility, leading Pakistani traders said.

"Buying has nearly stopped since palm oil seems to be falling by 100 ringgit almost every day," one trader, based in the port city of Karachi, told Reuters on Wednesday.

"We are living a hand-to-mouth existence with the price volatilities and we haven't even started covering for the October to December period."

In normal times, Pakistan usually secures most of its October palm oil shipments by mid-September, said a leading Malaysian trader, who deals with Pakistan and the Middle East.

"It's very plausible that Pakistan has not started buying," the trader said. "In fact, the same applies to quite a few Middle Eastern countries.

Another trader said the South Asian nation was likely to buy 240,000 to 250,000 tonnes of palm oil as reserves would have fallen somewhat by the time the Muslim fasting period of Ramadan ended in late September.