Palm Oil Rises After Recent Weakness

2026-05-11 05:07 By Farida Husna 1 min. read

Malaysian palm oil futures jumped around 1% to MYR 4,550 per tonne, halting recent declines amid a weaker ringgit and firmer edible oils on the Dalian and Chicago markets.

Meanwhile, crude oil prices strengthened as the U.S.

and Iran failed to agree to a peace proposal drafted by Washington, boosting expectations for biodiesel demand.

Higher exports further lifted sentiment, as cargo surveyor Intertek Testing Services noted that exports for May 1-10 rose 8.5% from the same period in April.

On the policy front, Malaysia will roll out a B15 biodiesel mandate from June 1, up from the current B10, to curb fuel imports and spur domestic consumption.

However, upside was capped by monthly data from the Malaysian Palm Oil Board showing April stocks rose 1.71% from the prior month to 2.31 million metric tonnes, with output surging 18.37% to 1.63 million tonnes.

Meanwhile, demand concerns persisted as India, the world’s largest palm oil buyer, saw April imports plunge 27% mom to a one-year low.



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Palm Oil Rises After Recent Weakness
Malaysian palm oil futures jumped around 1% to MYR 4,550 per tonne, halting recent declines amid a weaker ringgit and firmer edible oils on the Dalian and Chicago markets. Meanwhile, crude oil prices strengthened as the U.S. and Iran failed to agree to a peace proposal drafted by Washington, boosting expectations for biodiesel demand. Higher exports further lifted sentiment, as cargo surveyor Intertek Testing Services noted that exports for May 1-10 rose 8.5% from the same period in April. On the policy front, Malaysia will roll out a B15 biodiesel mandate from June 1, up from the current B10, to curb fuel imports and spur domestic consumption. However, upside was capped by monthly data from the Malaysian Palm Oil Board showing April stocks rose 1.71% from the prior month to 2.31 million metric tonnes, with output surging 18.37% to 1.63 million tonnes. Meanwhile, demand concerns persisted as India, the world’s largest palm oil buyer, saw April imports plunge 27% mom to a one-year low.
2026-05-11
Palm Oil Set for Back-to-Back Weekly Losses
Malaysian palm oil futures traded below MYR 4,550 per tonne, extending recent losses as weakness in Dalian edible oils weighed on sentiment. The market is heading for a second straight weekly decline, down about 0.8% so far, reflecting demand concerns. April imports by top consumer India plunged 27% month-over-month to a one-year low, adding to bearish sentiment. Meanwhile, cargo surveyors estimated Malaysia’s exports during April 1–25 fell 15.7%–16.8% from March, linked to softer post-festive buying. Still, losses were partly cushioned by a weaker ringgit and firmer Chicago soyoil. Crude oil prices also climbed on renewed U.S.–Iran tensions, boosting expectations for stronger biofuel demand. Domestically, Malaysia will implement its B15 biodiesel mandate from June 1, raising the blend from the current B10 to curb fuel imports and support palm oil consumption. Market participants now await monthly data from the Malaysian Palm Oil Board due Monday for clearer supply-demand signals.
2026-05-08
Palm Oil Trades Below MYR 4,600
Malaysian palm oil futures slipped below MYR 4,600 per tonne, extending losses on a stronger ringgit and weakness in edible oils on Dalian and Chicago markets. Sentiment was further pressured by reports that the U.S. and Iran are working on a memorandum to establish a framework for talks aimed at ending the war. Such developments could ease crude oil prices, hurting biofuel economics and reducing demand for palm oil as a biodiesel feedstock. At the same time, demand concerns deepened, with imports by top buyer India down 27% mom in April to a one-year low. Meanwhile, cargo surveyors noted April 1–25 exports fell 15.7%–16.8% from March, reflecting post-festive softness. Still, losses were capped after Malaysia confirmed its B15 mandate will take effect June 1, up from B10, to curb fuel imports. Separately, palm oil prices may climb around 12% to MYR 5,200 by mid-July, analyst Dorab Mistry says, as biodiesel demand strengthens and supply tightens on energy-driven gains in vegetable oils.
2026-05-07