Tag: REA Holdings

Those Continue to Expand in Plantation

The benchmark May 2018 contracts of crude palm oil (CPO) inched up RM4 only to RM2380 per ton Monday (Mar 12). That means the commodity will be significantly lower than average contracts in the first half of 2017. Natural rubber is also traded 35% below last year. Still, some plantation companies continue to bet on future of palm oil and natural rubber.

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Palm Oil Expansions

Ample stock and higher output contributed to correction of crude palm oil (CPO) prices in the past few months. Some expect the current price will be stable for most part of the first half of this year, relying on demand from India and Asia, while others anticipate further short term correction. One or two companies might decide to sell plantation assets, while others continue expanding processing capacities.

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