SINGAPORE: Malaysian palm oil futures fell for a second straight session on Monday, tracking weakness in rival oils and a slump in crude oil prices.

The benchmark palm oil contract for February delivery on the Bursa Malaysia Derivatives Exchange fell 32 ringgit, or 0.6%, to 4,961 ringgit.

Crude oil remained under pressure on Monday after sliding about 3% in the previous session on demand concerns sparked by a COVID-19 resurgence in Europe and prospects of excess supply after Japan said it was weighing releasing oil reserves.

Cheaper crude oil makes palm oil a less attractive feedstock for biofuels.

But an official of the Indonesian energy ministry said after market close that the world’s top palm producer could consume more biodiesel in 2021 than initially estimated.

Dalian’s most-active soyoil contract fell 2%, while its palm oil contract traded 1.5% lower.

Soyoil prices on the Chicago Board of Trade, meanwhile, were up 0.8%.

Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.

Palm’s losses were somewhat capped by cargo surveyor data on Saturday showing palm oil exports in the Nov. 1-20 rose at least 8% from the same period a month ago.