India buys Malaysian palm oil after 4 months
Owing to a fall in domestic inventories and discounted prices, India has resumed purchases of Malaysian palm oil, four months after it restricted refined palm oil imports following a diplomatic row. An improvement in trade relations between the two countries after the formation of a new government in Kuala Lumpur and a deal with Malaysia to sell 100,000 tonnes of Indian rice spurred this development.
“I think the Indian government will allow unloading of upcoming shipments. We can’t rely on one seller (Indonesia) indefinitely, especially when you have to build inventory,” according to a trader. Sources also say that last week, Indian importers contracted about 2,00,000 tonnes of Malaysian crude palm oil, which will be shipped in June and July.