Malaysia's end-Sept palm oil stockpiles rise while exports drop

Kuala Lumpur

MALAYSIA'S palm oil inventories at the end of September edged up from a near six-year low reached in the previous month, as exports to top palm consumer countries weakened and production rose at a lower than average rate.

Rising stockpiles could weigh on benchmark palm oil prices, which have fallen about 6 per cent since climbing to a five-month high on Sept 26 on forecasts of increasing output. Palm is up 0.3 per cent at 2,569 ringgit (S$851) per tonne at the midday break on Monday.

End-stocks in Malaysia, the world's second-largest palm oil producer after Indonesia, gained 5.7 per cent to 1.55 million tonnes, up from 1.46 million tonnes in August, data from industry regulator the Malaysian Palm Oil Board (MPOB) showed…