KUALA LUMPUR: Malaysian palm oil futures ended 3.1 per cent higher on
Wednesday, after India hiked import tariffs for rival soy oil the prior
day, heightening hopes for more demand although traders said palm oil
was next for a rise. The benchmark February contract on the Bursa
Malaysia Derivatives Exchange settled up 44 ringgit at 1,480 ringgit
($410) per tonne. India, the No 2 vegetable oil buyer, slapped a 20 per
cent customs duty on the import of crude soybean oil in a bid to shore
up demand for its domestic soybean crop. Palm oil currently has no
duties. “Palm oil is shielded for now and the increase in soy oil
duties means more of India’s import market will go to palm oil,” said a
trader with a local commodities brokerage.
Source : The News