POC2016 to attract 2,000 delegates from over 50 countries

KUALA LUMPUR: Over 2,000 industry drivers from over 50 countries will converge here for the 27th Bursa Malaysia Palm and Lauric Oils Conference and Exhibition, Price Outlook (POC 2016).

The three-day conference ending March 9 and organised by Bursa Malaysia, is themed, “Managing Market Uncertainties, Our Global Solution”, and will be officiated by Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi.

Industry experts will discuss risk management techniques, including hedging via Bursa Malaysia’s globally traded Palm Oil Futures Contract (FCPO), as well as present their outlook for the market.

In a statement yesterday, Bursa Malaysia Chief Executive Officer Datuk Seri Tajuddin Atan stressed the importance of oil palm industry players adopting a responsible hedging policy to manage price risks.

“Hedging is a key component in managing risks and if you are not hedging, then you are speculating.

“The industry will be impacted in one way or another by the volatility of the market.

“As such, companies and businesses cannot ignore the need to employ sophisticated risk management strategies to manage their bottom line.

“Trading and hedging is an important strategy to protect the long term sustainability of any business,” he said.

Bursa Malaysia has earned global recognition as the leading benchmark for edible oils and the world’s price discovery marketplace for palm oil.

In 2015, the FCPO achieved a record volume of 10.98 million contracts, surpassing the 2014 historical level of 10.16 million contracts to record the highest number of contracts traded in a year since 1980.

The volume traded by domestic institutions for FCPO has grown from 15 per cent in 2014 to 21 per cent in 2015.

The average daily open interest is around 200,000 contracts, the statement noted.

Among speakers at the POC 2016 are Godrej International Ltd director Dorab Mistry, LMC International Ltd chairman Dr James Fry and ConsiliAgra Managing Director, Emily French. — Bernama