JAKARTA: Malaysian palm oil futures closed up on Thursday, tracking strength in rival oils, while the market is waiting for leads from a major industry conference due to be held in Kuala Lumpur next week.

The benchmark palm oil contract for May delivery on the Bursa Malaysia Derivatives Exchange was up 62 ringgit, or 1.59%, at 3,969 ringgit ($836.99) per metric ton on its closing.

“The futures (are) tracking external strength while awaiting leads from next week’s Price Outlook Conference and Exhibition (POC),” said a Kuala Lumpur-based trader.

The soyoil contract on the Dalian Commodity Exchange was up 0.66%, while its palm oil contract rose 1.08%. Soyoil prices on the Chicago Board of Trade increased 0.15%.

Palm oil is affected by price movements in related oils as they compete for a share of the global vegetable oils market. Exports of Malaysian palm oil products for February fell 14.0% to 1,106,054 metric tons from 1,286,509 metric tons shipped during January, cargo surveyor Intertek Testing Services said on Thursday.

According to independent inspection company AmSpec Agri Malaysia, it fell 18.5% to 1,000,348 tonnes from 1,227,101 tonnes shipped during January.

Cargo surveyor Societe Generale de Surveillance (SGS) estimates exports of Malaysian palm oil products for February at 996,845 metric tons, according to LSEG.

Indonesia plans to lower its crude palm oil reference price for the March 1-31 period to $798.90 and keep the export tax and levy at $33 and $85 per ton, respectively. The regulation stating the new reference price is yet to be published.

Indonesia’s palm oil output this year is expected to rise by 5% year-on-year to 57.6 million tons, while export is expected to stagnate at 32 million to 33 million tons, the Indonesia Palm Oil Association said on Tuesday.

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