Indian importers have contracted up to 200,000 tonnes of crude palm oil from Malaysia to be shipped in June and July. This came after the formation of a new government in Kuala Lumpur and Malaysia signing a deal to buy a record 100,000 tonnes of Indian rice. A restart to buying by India, the world’s biggest edible oil importer, could further support Malaysian palm oil prices, which have edged up from 10-month lows in recent days.
The Indian government will allow unloading of upcoming shipments as it can’t rely on one seller (Indonesia) indefinitely, especially when it needs to build inventory.
