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Palm Oil

Palm Oil Prices Stay Below MYR 4,500 on Weak Demand

Malaysian palm oil futures held below MYR 4,500 per tonne, hovering near a five-week low, as weak exports weighed on sentiment. Cargo surveyors estimated April 1–15 shipments plunged over 34% mom, reflecting the absence of festive demand. So far this week, contracts logged a second straight weekly decline, pressured by uncertainty over U.S.–Iran talks to end the Middle East conflict. Still, the downside was cushioned by firmer edible oil prices in Dalian and Chicago markets, alongside expectations that India, the top consumer, may boost purchases ahead of seasonal demand after March imports fell 19% to a three-month low. On the supply side, Malaysia’s inventories dropped for a third month to a seven-month low in March. Kuala Lumpur is also considering expanding biodiesel use to ease fuel strains amid the crisis. In key buyer China, solid Q1 2026 GDP growth lent support, though momentum may weaken as demand-supply imbalances and fragile external conditions persist.

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