04 December 2013

Palm snaps three days of losses on flood fears

Malaysian palm oil futures inched up today, snapping three straight days of losses on concerns that the worsening monsoon floods in key palm-growing areas would disrupt production of the tropical oil.
Heavy rain and thunderstorms that swept over parts of Malaysia in the last few days have caused flooding in low-lying areas in Johor and Pahang that are abundant with oil palm plantations.
Floods make harvesting and transportation of palm fruit to mills risky as roads become inundated and plantation workers are forced to evacuate. Source

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