Breaking News-RTRS-Palm output to drop as rivers dry up in Malaysian state

KUALA LUMPUR, March 18 (Reuters) - Palm oil output in a key growing state in Malaysia, the world's second largest producer of the commodity, is expected to fall 15 percent as two major rivers irrigating plantations have sunk to dangerously low levels.
The southern state of Johor in mainland Malaysia, and the top producing state of Sabah on the island of Borneo, have experienced a prolonged dry spell driven by the El Nino weather condition that can axe yields and trigger a supply squeeze.