LMC says canola and sunflower to cap palm oil price rise

In Malaysia, LMC International says that increased demand for palm oil as a biofuel feedstock will boost CPO prices to $858 per metric ton by early next year. Currently the differential between Brent crude and CPO is such that it’s profitable for businesses to be producing biodiesel. A major recovery in soft oils like canola and sunflower will provide a ceiling to CPO going above $936.