Palm Oil

Malaysian palm oil futures were trading around MYR 3,900 per tonne, extending its pullback from the one-month high of MYR 4,250 touched on January 3rd, as worriers grew about weakening global demand. Exports from Malaysia, the world's second-largest producer, during January 1-10 slumped between 44.6% and 51% from the previous month, as shipments to India and China slowed, cargo surveyors data showed. Meanwhile, palm oil end-stocks in Malaysia fell in December to the lowest since August, as widespread flooding hit production, Malaysian Palm Oil Board data showed. Ivy Ng, regional head of plantations research at CGS-CIMB Research, expected Malaysia's output to rise 3.3% to 19.1 million tonnes this year, as labor shortage issues will likely ease in mid-2023. Putting a floor under prices, Indonesia, the world's biggest palm oil producer, announced that palm oil producers can now export only six times the domestic sales requirement to ensure ample domestic supplies.

Historically, Palm Oil reached an all time high of 7268 in March of 2022. Palm Oil - data, forecasts, historical chart - was last updated on January of 2023.

Palm Oil is expected to trade at 3875.33 MYR/MT by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 3390.31 in 12 months time.