KUALA LUMPUR, May 13: Malaysian crude palm oil futures edged 1.1 per cent lower on Tuesday, falling further from three-week highs hit the previous day, as some investors took profit on talk of higher supplies in the physical market.

But Wilmar International the world’s largest listed palm oil firm, said on Tuesday palm oil prices were expected to remain firm in the foreseeable future.

The benchmark July contract on the Bursa Malaysia Derivatives Exchange settled down 38 ringgit to 3,532 ringgit ($1,100) per ton. On Monday, the contract jumped 3.7 per cent to 3,623 ringgit, a level unseen since April 18.

Sellers have their physical oils but buyers are slow to seal the contracts, there is a bottleneck situation between the parties, said a trader with a local commodities broker.

Demand prospects may look bright with cargo surveyors posting bullish data for May 1-10 but strong export growth does not appear to be coming from China and India, he added.

Other traded months fell between 15 and 18 ringgit.

Overall trade stood at 1,310 lots of 25 tons each.

Malaysia’s crude palm oil stocks fell 1.97 per cent to 1,789,383 tons in April, from a revised 1,825,386 tons in

March, official crop agency Malaysian Palm Oil Board said on Monday.

Exports of Malaysian palm oil products for May 1-10 rose 34.5 per cent to 409,238 tons from 304,279 tons shipped between April 1 and 10, cargo surveyor Intertek Testing Services said on Saturday.—Reuters