NEW DELHI, Jan 21 (Commoditiescontrol) - Malaysian palm oil futures climbed 2.62 percent to end at a record high on Friday, extending their upside momentum for the fourth straight day amid concerns over production and tracking gains in edible oils on other benchmark overseas markets.
The upside was also underpinned by news that top producer Indonesia is planning to restrict palm oil exports, which could cut global supply of the edible oil.
The April benchmark crude palm oil contract on the Bursa Malaysia Derivatives Exchange (BMD), was up Ringgit 136 or 2.62 percent at Ringgit 5,323 ($1,271.92) per tonne by the close, after moving in the range of Ringgit 5,327 to Ringgit 5,181 per tonne. For the week it gained 3.9 percent.
Malaysia's Southern Peninsula Palm Oil Millers' Association (SPPOMA) estimated production during Jan 1-20 declined 16.7 percent from the month before, traders said.
Production in Malaysia throughout the pandemic has been hammered by a severe labour crunch due to border closures to control the coronavirus outbreak.
Globally, Dalian's most-active soyoil contract gained 2.1 percent, while its palm oil contract rose 1.7 percent. Soyoil prices on the Chicago Board of Trade (CBOT) were up 0.3 percent in electronic trade after jumping 3.5 percent overnight.
Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.
(By Commoditiescontrol Bureau)
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