KUALA LUMPUR (Oct 24): MIDF Research has maintained its “Positive” stance on the plantation sector and said it expects crude palm oil price to stay at the range of RM2500 to RM3000 per MT in the next three months due to low inventory of palm oil globally. “Note that there is RM286m allocation (in Budget 2017) to increase exports of palm oil, rubber, cocoa and pepper. “There is also RM50 million allocation to conduct scientific research to enhance the quality of palm oil products,” it said. MIDF Research has maintained its “Buy” rating on Kuala Lumpyr Kepong Bhd (TP: RM27.38) and IOI Corp Bhd (TP: RM5.05). “We also like IOI Corp (TP RM5.05) due to its pure exposure to palm oil business both in the up stream and downstream divisions.

Source: The Edge Markets October 23, 2016 23:48 UTC