KUALA LUMPUR, Feb 18: Malaysian crude palm oil futures jumped 3.4 per cent on Monday to hit another high as ruined oilseed crops in China fuelled massive buying in the global vegetable oil markets, traders said.

US soyoil surged to a all-time record last week while exports of Malaysian palm products surged as much as 53pc as China scrambled to ensure food supplies.

Used in products from margarine and lipstick to biofuels, palm oil prices have surged to their third record high in two weeks and gained 18 per cent so far this year.The benchmark May contract on the Bursa Malaysia Derivatives Exchange soared 120 ringgit to reach a record peak of 3,600 ringgit ($1,118) per ton before settling at 3,599 ringgit.

Other traded months on Bursa Malaysia rose between 83 and 117 ringgit. Overall trade stood shot up to 14,672 lots of 25 tons each from the usual 10,000 lots.

Part of the reason for surging Chinese demand was palm oil’s 21pc discount to soyoil, which roughly trades at $1,395 per ton at Rotterdam port, traders said.

Soybean futures at the Chicago Board of Trade ended higher on Friday and the July contract soared to a record high $14.13 per bushel on China concerns and spillover support from a soaring US spring wheat market.

Exports of Malaysian palm oil products for Feb. 1-15 surged 53 per cent.—Reuters