KUALA LUMPUR, May 8: Malaysian crude palm oil futures jumped 3.3 per cent on Thursday as record high crude oil prices and renewed concerns over global vegetable oil supplies lifted the market.

Dealers said fresh protests by Argentine farmers had raised fears of a squeeze in soybean oil supplies while record crude oil prices revived hopes for the biofuel industry.

The benchmark July contract on the Bursa Malaysia Derivatives Exchange rose as much as 112 ringgit to 3,467 ringgit ($1,078) per ton before settling up 102 ringgit at 3,457 ringgit.

Prices were underpinned by bullish news Pakistan will import up to 40 per cent more palm oil in July-September period for the Muslim religious festival of Ramadan, which falls in September.

This 40 per cent increase (that) he is talking about is quite substantial. Normally we take a ballpark figure of a 20 per cent rise in demand during Ramadan, said S. Paramalingam, executive director of Pelindung Bestari Sdn Bhd, a commodities broker.

Soyaoil for May delivery at the Chicago Board of Trade rose 0.58 per cent and the most-active September contract on China’s Dalian exchange was up 0.19 per cent.

Argentine farmers announced fresh protests against a tax hike on Wednesday, aiming to put pressure on the government by disrupting grains exports from one of the world’s top suppliers of corn, wheat and soy.

Oil steadied on Thursday within sight of a record high near $124 a barrel as the dollar’s rise against the euro reduced the appeal of the commodity as a hedge against inflation.

In Malaysia’s physical market, crude palm oil for May shipment in the southern region was quoted at 3,445/3,450 ringgit. Trades were done between 3,430 and 3,445 ringgit a ton.—Reuters