KUALA LUMPUR, Oct 16 — Palm oil advanced for the first time in three days after data showed that shipments increased from Malaysia, the world’s second-largest producer.

The contract for delivery in December advanced as much as 0.7 per cent to RM2,379 ringgit (US$750) a metric tonne on the Bursa Malaysia Derivatives, and was at RM2,376 by the midday break. Palm for physical delivery in November was at RM2,380 today, data compiled by Bloomberg show.

Exports from Malaysia gained 6.6 per cent to 781,043 tonnes in the first 15 days of October from the same period a month earlier, surveyor Intertek said today. Demand from India, the biggest importer, may have increased because of the Diwali festival on November 3, according to Mumbai-based Commtrendz Risk Management Services Pvt.

“We’re seeing possible festival demand from India,” said Gnanasekar Thiagarajan, a director at Commtrendz. “Palm is the preferred choice of oil, especially in the festival season.”

Soybeans for delivery in November were little changed at US$12.6825 (RM40.25) a bushel on the Chicago Board of Trade, while soybean oil for December climbed 0.6 per cent to 40.90 cents a pound.

Refined palm oil for January delivery was little changed at 5,678 yuan (RM2,953) a tonne on the Dalian Commodity Exchange and soybean oil for May delivery was unchanged at 7,074 yuan a tonne. — Bloomberg