Palm Oil Rises Amid Biofuel Sentiment, Supply Shifts

2026-04-07 03:29 By Farida Husna 1 min. read

Malaysian palm oil futures hovered near MYR 4,850 per tonne on Tuesday, rebounding from prior weakness as a weaker ringgit and firmer edible oil prices in Dalian and Chicago lent support.

Crude oil’s rally, fueled by U.S.

President Trump’s escalated rhetoric against Iran, further lifted sentiment for biofuel-linked commodities.

On the supply side, Indonesia, the top producer, posted double-digit export growth in February ahead of its July B50 biodiesel mandate.

Meanwhile, Thailand announced tighter crude palm oil export controls and regulated bottled oil prices from April 7.

Cargo surveyors noted Malaysian shipments surged 44%–57% mom in March.

Separately, Reuters forecast the steepest inventory draw in three years, cutting stockpiles to the lowest since July.

Gains, however, were capped by caution ahead of official monthly data and China’s inflation release.

Demand concerns also lingered after March imports fell 19% in top buyer India to a three-month low as high prices curbed buying.



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Palm Oil Rises Amid Biofuel Sentiment, Supply Shifts
Malaysian palm oil futures hovered near MYR 4,850 per tonne on Tuesday, rebounding from prior weakness as a weaker ringgit and firmer edible oil prices in Dalian and Chicago lent support. Crude oil’s rally, fueled by U.S. President Trump’s escalated rhetoric against Iran, further lifted sentiment for biofuel-linked commodities. On the supply side, Indonesia, the top producer, posted double-digit export growth in February ahead of its July B50 biodiesel mandate. Meanwhile, Thailand announced tighter crude palm oil export controls and regulated bottled oil prices from April 7. Cargo surveyors noted Malaysian shipments surged 44%–57% mom in March. Separately, Reuters forecast the steepest inventory draw in three years, cutting stockpiles to the lowest since July. Gains, however, were capped by caution ahead of official monthly data and China’s inflation release. Demand concerns also lingered after March imports fell 19% in top buyer India to a three-month low as high prices curbed buying.
2026-04-07
Palm Oil Subdued as Week Begins
Malaysian palm oil futures were little changed, hovering around MYR 4,840 per tonne after two sessions of gains. The closure of China’s Dalian exchange for a holiday offset weakness in Chicago soyoil prices. Sentiment stayed cautious amid escalating geopolitical tensions, with U.S. President Trump’s repeated threats against Iran and fears of Gulf retaliation adding volatility across commodities. On the supply side, a Reuters poll ahead of official monthly data suggested Malaysia’s inventories likely saw their steepest draw in three years in March, falling to the lowest since July. Meantime, cargo surveyors estimated shipments surged 44%–57% mom. Separately, top supplier Indonesia reported double-digit palm oil export growth in February as the sector prepares for a higher B50 biodiesel mandate in July. Regarding demand, March imports by India, the world's largest consumer, dropped 19% to a three-month low, with refiners delaying purchases amid elevated prices.
2026-04-06
Palm Oil Set for Fifth Weekly Gain
Malaysian palm oil futures edged higher to hover around MYR 4,800 per tonne, heading for a fifth straight weekly advance of near 4% so far. Prices were supported by firmer edible oils in Dalian markets and elevated crude oil after U.S. President Donald Trump vowed continued strikes on Iran, boosting biodiesel-linked demand expectations. Export momentum added near-term support, with cargo surveyors estimating shipments surged 44%–57% from February. In Indonesia, the world’s top producer, official data showed palm oil exports recorded double-digit growth in February as the industry prepares for a higher B50 biodiesel mandate in July. Gains, however, were capped by weaker demand from top consumer India, where March palm oil imports fell 19% to a three-month low as refiners delayed purchases amid high prices. Caution also grew ahead of key data in China, another main buyer, with CPI and PPI due next week, along with monthly supply and demand data from the Malaysian Palm Oil Board.
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