16/02/2023 (Hellenics Shipping News) - Malaysian palm oil fell on Wednesday as export data from cargo surveyors showing a slowdown and lower prices of rival edible oil weighed on sentiment.

The benchmark palm oil contract for April delivery lost 0.53% to end the afternoon session at 3,935 ringgit ($896.36), after rising as much as 1.43% earlier in the day.

Exports of Malaysian palm oil products for Feb. 1-15 rose 8.9% on monthly basis, independent inspection company AmSpec Agri Malaysia said on Wednesday, while cargo surveyor Intertek Testing Services reported an increase of 18.4%.

Malaysia’s palm oil exports during Feb. 1-10 rose between 23.3% and 39.3% from a month earlier.

Compared to shipments in the first five days and first ten days of the month, “these figures are disappointing and were triggering some profit taking,” a Kuala Lumpur-based trader said.

Palm also was being dragged down by softer rival oils on the Dalian exchange and Chicago Board of Trade.

Dalian’s most-active soyoil contract DBYv1 dropped 0.78%, while its palm oil contract DCPv1 fell 0.43%, after rising 1.80% earlier in the session. Soyoil prices on the CBOT BOc2 were down 0.74%.

Palm is affected by price movements in related oils as they compete for a share in the global vegetable oils market.

Meanwhile, India’s rapeseed production in 2023 could jump 7.1% from a year earlier to a record 12.8 million tonnes, the country said, which could help the world’s biggest vegetable oil importer reduce overseas purchases of palm oil.

India’s palm oil imports in January fell about 25% from the previous month to 833,667 tonnes, a trade body said on Wednesday.

Source: Reuters

https://www.hellenicshippingnews.com/palm-drops-as-exports-slow-rival-oils-decline/