Breaking News-RTRS-Palm oil may find support floor at 1,500 rgt

By Niluksi Koswanage
KUALA LUMPUR, Oct 10 (Reuters) - The dramatic slide in palm oil prices could soon be drawing to an end as growers consider shifting their focus from expansion to renewing older crops, curbing supplies in the medium term.
A level of 1,500 ringgit a tonne -- 15 percent below current levels -- represents the break even point for plantations, who face a margin squeeze as prices have halved since July while fertiliser and other farm costs stay strong.
"Palm oil falling below 1,500 ringgit is very possible in the mid-term as the global recession will see big buyers like India and China tightening purse strings," said a head trader at a foreign commodities broker. "Once oil goes below $70, there will be a further free-fall."