JAKARTA: Malaysian palm oil futures recovered from three straight sessions of losses on Friday due to higher rival oils such as soyoil, but the contract recorded a 3.18% drop for the week.

The benchmark palm oil contract for September delivery on the Bursa Malaysia Derivatives closed 1.74% higher to 3,624 ringgit ($775.35) per metric ton.

“Overnight strength in CBOT’s soybean oil has lifted Bursa Malaysia Derivatives FCPO to open gap higher. The rise failed to sustain as some early selling interest emerged,” a Kuala-Lumpur based trader told Reuters, adding that trading volume remained low ahead of the weekend and Dalian closed.

Soyoil prices on the Chicago Board of Trade were up 0.91%. The Dalian Commodity Exchange was closed for the Dragon Boat Festival holidays.

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

India’s palm oil imports in June are set to jump 46% from a month ago to their highest in three months, as buyers took advantage of a dip in prices to their lowest in 28 months to increase purchases.

Malaysia’s ringgit, the contract currency of trade, weakened to hit its lowest level since Nov. 11, 2022 in early trade. A weaker ringgit made the contract more attractive to foreign currency holders.

Malaysia has maintained its July export tax for crude palm oil at 8% and lowered its reference price, a circular on the Malaysian Palm Oil Board website showed on Wednesday.