CIMB Research Neutral on plantations over biodiesel 10 delay

Going downstream: The proposed acquisition of Zhong Ling Nutri-Oil is in line with FGVHB

However, it does not expect this news to impact its average CPO price forecasts of RM2,450 per tonne for 2016 and RM2,600 per tonne for 2017 as the volumes affected was not significant. 

“Malaysia is in consultation with the automotive companies on the phased implementation of B10 (blending of 10% palm methyl ester with 90% petroleum diesel) biodiesel mandate for the transport sector beginning July 2016, a month later than earlier planned. Malaysia has implemented B7 in the transport sector since December 2014,” it said.