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By Yee Mei
KUCHING, Sept 5: Bursa Malaysia Derivatives’ record for crude palm oil futures (FCPO) trading volume in 2022 reached an exceptional 16.2 million contracts, surpassing previous record highs.
“Being the global price benchmark for the crude palm oil market has resulted in Bursa Malaysia Derivatives’ notable performance, with a total of 19.1 million contracts traded across all products in 2022, marking a 3.8 per cent year-on year increase,” said Bursa Malaysia Berhad chairman Tan Sri Abdul Wahid Omar.
He said this during his welcome address at the East Malaysia Palm & Lauric Oils Price Outlook Conference & Exhibition (emPOC2023) here today.
He added that particularly significant within sectors like agriculture, where prices are susceptible to swift fluctuations due to variables such as weather conditions and geopolitical events, derivative products enable producers to lock in future prices for their goods, ensuring revenue stability.
“The well-established FCPO contract offered by Bursa Malaysia Derivatives plays a significant role in providing liquidity and transparency via an exchange-traded marketplace.
“FCPO offers standardised contracts and access to the UK and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) historical data, all of which contribute to supporting well-informed decision-making among market participants,” he said.
He added while this affirms their position as a leading commodities marketplace in Asean, with ‘green offerings’, they remain dedicated to progress and pursue developments that open up more opportunities for investors and traders.
Sarawak Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg officiated at the event. — DayakDaily
