Malaysian palm oil futures edged higher on Tuesday, hovering around MYR 4,150 per tonne and marking the third straight session of gains. A weaker ringgit and firmer edible oil markets in Dalian and Chicago supported sentiment. Also, crude oil’s rally amid escalating U.S.–Israeli tensions with Iran added further support. In top buyer India, February palm oil imports rose 10.1% mom to a six-month high of 844,000 tonnes, due to restocking demand. Meantime, Indonesia, the world’s largest producer, reported January crude and refined palm oil exports surging 77.1% yoy, while raising crude palm oil export levy to 12.5% of the reference price to fund its biodiesel mandate. On the export front, however, cargo surveyors noted that February shipments fell between 21.5% to 22.5% from January, despite seasonal demand ahead of the Eid al-Fitr celebration. Caution also lingered ahead of PMI data in China, the key buyer, with concerns that Spring Festival disruptions weighed on business activity.
