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19.10.202604:47:39UTC+00Palm OIl Stays at 3-Week High on Export Strength

Malaysian palm oil futures remained above MYR 4,750 per tonne, trading near a three-week high, supported by stronger edible oil prices on China’s Dalian exchange and solid export demand. Cargo surveyor data showed Malaysian palm oil shipments jumping 43.2%–58.3% month-on-month in the first half of October, while festival-related buying from India, the world’s largest palm oil importer, further underpinned the market. Indonesia also increased its October crude palm oil reference price by 3.44% to USD 1,042.15 per tonne.

On the supply side, concerns intensified as Indonesia’s B50 biodiesel mandate and severe El Niño conditions threatened to disrupt production and logistics. In China, another key consumer, stronger-than-expected Q3 GDP growth and resilient September activity improved the demand outlook. At the same time, crude oil prices eased but stayed elevated amid tensions in the Middle East, lending additional support to palm oil via the biodiesel channel. However, upside momentum was capped by record-high Malaysian inventories, which reached 3.51 million tonnes in September.

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