Malaysian palm oil futures were trading around MYR 3,700 per tonne, pointing to their lowest level in six weeks after hitting near MYR 4,000 in early July, amid losses in rival edible oils and caution ahead of production data later this week. Western allies reportedly are looking to China to help resolve the effect of Russia’s exit from a crucial UN-backed agriculture deal. Meantime, Reuters projected that Malaysia’s palm oil inventories at the end of July likely rose 4.2% from the prior month to a five-month peak of 1.79 million tons. The survey also showed that production could rise 9.2% to 1.58 million tons, while exports likely surged 8.5% to 1.27 million tons. Capping the falls were expectations that the largest buyers India and China may import a combined total of 16.5 million tons of palm oil by December 2023, up from 15 million tons in 2022.
