The tax kicks in at 4.5 percent when a calculated palm oil reference price tops 2,250 ringgit a tonne and stops at 8.5 percent. Exports have already been dropping and consumers are not buying at these high levels," said a trader from Kuala Lumpur, adding that the higher tax will further dampen demand. Current port levels suggest there's no need for further buying," said David Ng, derivatives specialist at Phillip Futures. "At China, port levels are relatively high, indicating restocking activites could be lower ahead of winter season. Benchmark palm oil traded 0.6 percent higher at 2,580 ringgit ($625) a tonne at noon on Thursday.

Source: The Star September 15, 2016 06:00 UTC