Time to look for bargains as palm oil prices fall

PALM oil prices, which last year recovered from their 10-year lows in 2015, are set to enter into a depressed state in the second half of this year.

In spite of this, palm oil companies might still be worth a look, especially for investors who prefer the contrarian approach. Analysts seem to especially like Bumitama Agri and First Resources, while some say new catalysts are emerging for Wilmar International.

Prices for palm oil typically rise with the start of the Ramadan period, as feasting practices observed by Muslims lift demand for cooking oil. This year, however, things have been different.