KUALA LUMPUR, April 8: Malaysian crude palm oil futures were little changed on Tuesday on steady global vegoil prices but traders were on the lookout for a possible port strike in Indonesia that could paralyse shipments from the world’s largest producer.

Threats by workers from Indonesia’s state-run port firm, Pelindo to strike as lawmakers passed a new shipping law to open up ports to the private sector on Tuesday could boost palm oil prices and see a surge in demand for Malaysian palm oil, traders said.

The benchmark June contract on Bursa Malaysia Derivatives Exchange settled down 7 ringgit to 3,375 ringgit ($1,059) but held on to gains of nearly 11 per cent so far this year.

Socio political tensions in major exporting countries such as Indonesia could cause sharp swings in agricultural prices particularly... where soft commodity prices remain relatively volatile, said Abah Ofon, an analyst with Standard Chartered Bank.

Argentine crushers and exports were able to restock on Monday just days after a paralysing three-week farm strike came to an end, traders said.

Palm oil, used in products from margarines and lipsticks to biofuels, is roughly 25 per cent off an historic high of 4,486 ringgit last month, but has derived support in the past week from strike actions in South America.

India, which scrapped import duties on crude edible oil last week, may have to get crude palm oil from Malaysia rather than Indonesia, historically a main supplier to the south Asian nation, traders said.

In Malaysia’s physical market, crude palm oil for April shipment in the southern region was quoted at 3,365/3,380 ringgit a ton. Trades were done between 3,360 and 3,390 ringgit.—Reuters